KUALA LUMPUR (Jan 12): Vantris Energy Bhd (KL:VANTNRG), formerly known as Sapura Energy Bhd, is disposing of its entire 40% equity interest in L&T-Sapura Shipping Pvt Ltd for a total consideration of about US$30.5 million (RM123.5 million), as part of its ongoing portfolio rationalisation to focus on core assets following the group’s financial restructuring.
In a filing with Bursa Malaysia on Monday, Vantris Energy said the disposal will be undertaken by its indirect wholly owned subsidiary, Sapura Nautical Power Pte Ltd, which has entered into a share purchase agreement with joint venture partner India's Larsen & Toubro Ltd to sell the stake in the shipping company.
The consideration comprises a cash sale price of 1.22 billion rupees (about RM55 million), together with the full repayment of an outstanding shareholder’s loan and accrued interest amounting to about US$16.9 million (RM68.4 million).
L&T-Sapura Shipping owns and operates the LTS3000 heavy-lift and pipelay vessel, which was held under a long-standing joint venture between the two groups.
Vantris Energy said the transaction will result in the termination of the joint venture agreement, with no further liabilities or obligations arising after completion, which is expected by Jan 31, 2026.
Based on the carrying value of the investment, the group is expected to record an estimated gain on disposal of about RM24.7 million.
In a separate statement, Vantris Energy said the divestment forms part of its efforts to streamline its asset base and focus on wholly owned assets that support its core businesses.
“This divestment is another step forward in reshaping Vantris Energy into a more focused, agile and financially resilient organisation,” group chief executive officer Muhammad Zamri Jusoh said.
"As we realign our portfolio, we are steering capital and attention towards the businesses, assets, and regions where we can compete with strength and deliver sustainable value,” he added.
Vantris Energy said net proceeds from the disposal will be used to fund operational requirements of its engineering and construction as well as operations and maintenance segments over the next 24 months.
The group marked the completion of its regularisation plan on Sept 26, 2025. The plan's key components included a capital reduction to offset accumulated losses and a 20-to-one share consolidation to enhance share trading price and reduce price volatility.
A debt restructuring exercise also saw Vantris Energy cutting its borrowings from about RM10.8 billion to RM5.7 billion.
Its shares closed unchanged at 40.5 sen on Monday, giving it a market capitalisation of RM926.4 million. The stock has declined over 32% over the past one year.