KUALA LUMPUR (Aug 4): Scomi Energy Services Bhd is looking to acquire Duta Pacific Offshore Sdn Bhd, among others, from Duta Marine Sdn Bhd.

The Practice Note 17 (PN17) company told Bursa Malaysia on Friday (Aug 4) that it had entered into a heads of agreement (HOA) with Duta Marine for the proposed investment.

Duta Pacific Offshore, a 51%-owned subsidiary of Duta Marine, is principally engaged in the provision of ship owning, operating and chartering of marine vessels of transportation.

Scomi Energy said both parties are desirous of entering into an agreement for purposes of setting out a broad framework for further discussions leading up to the finalisation and signing of the definitive agreement, which includes two alternatives.

The first alternative sketched out pointed to Duta Marine possibly disposing of its certain assets, including but not limited to one or more of its subsidiaries, to Scomi Energy in exchange for shares and/or cash.

The second alternative stated that “entry into any other transactions or arrangements between the parties as may be mutually agreed,” according to the Bursa filing, which noted that the terms and conditions of the HoA are subject to the satisfactory due diligence of each party.

“In conjunction with Scomi Energy’s proposed regularisation plan, Duta Marine shall provide and procure the provision of such information and/or documents as may be requested by Scomi Energy or the relevant authorities,” Scomi Energy said.

Scomi Energy said the HOA is to pave the way for further discussion and negotiations between the parties on the arrangement and terms of the investment in Duta Pacific Offshore.

The company fell into PN17 status in January 2020 when its shareholders’ equity on a consolidated basis fell below 50% of its issued share capital.

Shares of Scomi Energy have been suspended since July 24 as it failed to submit its regularisation plan to Bursa Securities on time and could not secure another extension of time to do so. The delisting was scheduled for July 26, but Scomi Energy submitted an appeal to the regulator to prevent that.

In October 2022, concessionaire PJD Link (M) Sdn Bhd announced that it was seeking a listing on the local bourse via the reverse takeover (RTO) of Scomi Energy. The RTO was to be part of Scomi Energy’s regularisation plan to lift it from the PN17 status.

However, Scomi Energy said last month that the framework agreement it inked with the concessionaire for the RTO had been "mutually terminated with immediate effect", but did not elaborate.

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Scomi Energy to be suspended on July 24; possible delisting on July 26
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