Hyflux

[AQ.]

1.  Debtwire has leaked previously a proposed deal presented to the senior unsecured (which was apparently shot down) 

of the 400mio equity+130mio loan from SM:
249mio will be working capital, with remaining 251mio to settle all claims.

1.9bio senior claims gets 200mio cash + 15% NewCo
0.9bio perps/Pref/common equity gets 39mio cash+22% NewCo
management gets 3% NewCo

So the ultimate proposal will prob be something like the above, +/-.

2. One small salient development was that SM group finally got access to TuaSpring (TS) data, 3mths after the whiteknight announcement in Oct18. This suggests that PUB has given its approval for the change in ownership (which was not obvious to me previously)

I still do not see why Indonesian 60% ownership of NewCo which owns 100% of TS, is safer than Malaysian 100% ownership of TS. And if indeed there are safeguards to ensure safety regardless of foreign ownership, then why not open the bids for TS to all bidders in the first place?

3. TS will not be sold. In fact, the precondition of SM injection is that TS remains under NewCo. Personally I think SM is very smart in wanting TS. In the long term, esp after the take-or-pay gas contracts strangling TS expires, there should be decent synergies between TS, PacificLight (which is a genco linked with SM) together with the fact they have piped gas flowing directly from Indonesia to Sg. How this works out is yet to be clear though.
 
I don't see why anyone will want to pay much for the rest of Hyflux's EPC biz, esp with pretty much all the projects in trouble.