Regulators Refusing to Act - Hyflux & Noble Group's Decline

[JustLikeThis]

Hyflux has been partially funded by 34,000 mom-and-pop Singaporeans,
many of whom invested their retirement and Central Provident Fund savings in precisely the belief that water security is paramount.
- Jeremy Teo Chin Ghee​

https://www.straitstimes.com/forum/...s-to-renegotiate-tuaspring-restructuring-plan

 

[JustLikeThis]

 

[JustLikeThis]

BREAKING:
Singapore’s Hyflux Woes Spark Protests, Call for Nationalization
https://www.bloomberg.com/news/arti...k-singapore-protests-call-for-nationalization

Emotions are running high among some Hyflux Ltd. investors who stand to lose almost everything in the collapse of Singapore’s much vaunted water-treatment company.

The frustration has prompted some bondholders to organize a protest this coming Saturday over a steep haircut imposed by the company under its S$2.8 billion ($2.1 billion) debt restructuring plan. The Business Times published a letter from a reader calling on Singapore to nationalize the plant, saying Hyflux may be worth as much as a commodity trader that got government support in 2014.

Debt holder Alex Leong has obtained a permit to organize the protest at a downtown park known as the Speaker’s Corner, the Straits Times reported on its website. The newspaper cited Leong’s concerns that he could lose a large proportion of his savings if the restructuring goes through.

Both Hyflux, and its external media adviser, didn’t immediately reply to emails seeking comment. Two calls to Hyflux’s spokesperson went unanswered.

The letter in the Business Times said Hyflux could be worth no less than Olam International Ltd., a coffee and cocoa trader which received billions in support from Temasek Holdings Pte, the state’s investment arm, in 2014.

 

[Empower]

BREAKING:
Singapore’s Hyflux Woes Spark Protests, Call for Nationalization
https://www.bloomberg.com/news/arti...k-singapore-protests-call-for-nationalization

Emotions are running high among some Hyflux Ltd. investors who stand to lose almost everything in the collapse of Singapore’s much vaunted water-treatment company.

The frustration has prompted some bondholders to organize a protest this coming Saturday over a steep haircut imposed by the company under its S$2.8 billion ($2.1 billion) debt restructuring plan. The Business Times published a letter from a reader calling on Singapore to nationalize the plant, saying Hyflux may be worth as much as a commodity trader that got government support in 2014.

Debt holder Alex Leong has obtained a permit to organize the protest at a downtown park known as the Speaker’s Corner, the Straits Times reported on its website. The newspaper cited Leong’s concerns that he could lose a large proportion of his savings if the restructuring goes through.

Both Hyflux, and its external media adviser, didn’t immediately reply to emails seeking comment. Two calls to Hyflux’s spokesperson went unanswered.

The letter in the Business Times said Hyflux could be worth no less than Olam International Ltd., a coffee and cocoa trader which received billions in support from Temasek Holdings Pte, the state’s investment arm, in 2014.

Nationalization is a good theme for saturday's rally at Hong Lim Park. 3-4pm
Everyone please turn up with your spouse, family members and friends.

 

[Empower]

Good points, probably explains by Olivia is so reluctant to seek government help and government have to be so harsh and rather retail investors be buried together.

It was a game of musical chair by Hyflux, using the retail bonds to repay the 4.8% and 5.75% perpetual bonds issued to accredited investors. Then music stopped in May 2018.

Do Singaporeans still believe in Singapore after all these? This is the biggest accounting fraud and largest corporate collapse in Singapore's financial history, affecting more than 50,000 investors. The asset valuations were rigged like Enron. Since 2017, there were operational issues and defaults in Tuaspring which went unreported. To make matters worse, the culprits dictate the resolution and local courts are more eager to showcase Singapore's ability to cram-down on investors, in bid to be a global restructuring hub.

Government also failed to regulate the power market resulting in massive oversupply and GLC held Hyflux hostage with ridiculous natural gas supply-contract. NEA and PUB went on to block foreign buyers who indicated interests to pay near $1.3bn valuation for Tuaspring, including a Chinese State-owned company, while allowing other Chinese companies to participate in other local power and water projects. . The approved GLC bidder simply low-balled on Tuaspring. To cover-up their mess, PUB had the cheek to offer zero dollars for Tuaspring's desalination facilities for zero dollars, citing massive underlying claims (despite not filing claims for April 5 restructuring).

There are about $1.2billion worth of savings being wiped out by Hyflux's retail bonds, preference shares and notes. The losses are far-reaching. Singapore will soon find fathers, mothers and seniors going bust or even steal for their families. These are people born here, faithfully served the country and invested in Singapore's water independence, only to be betrayed by the system and regulators sweeping these issues under the carpets.

Olivia should go to the government and just say, "I give up, you can have everything". Otherwise it will be very ugly, auditors, management and policymakers get exposed.

Anyway she got enough to retire. Spare a thought for the retail investors.

 

[ftan42]

Under WPA, Hyflux was to deliver 70 millions gallon of treated water daily in early 2017, but unable to deliver this amount as stated, our tap never went short of tap water till today, and if Hyflux able to deliver the this amount of treated water , where can store this 'extra' amount or let out to the sea?

 

[hofmann]

Under WPA, Hyflux was to deliver 70 millions gallon of treated water daily in early 2017, but unable to deliver this amount as stated, our tap never went short of tap water till today, and if Hyflux able to deliver the this amount of treated water , where can store this 'extra' amount or let out to the sea?

We can draw less from Malaysia if Hyflux meets their targets. No coincidence the former dictator is pushing the water issue now.

 

[Filloz]

In this tripartite relationship, all three of them are tainted - Hyflux Management, Bankers, Regulators.

At least need to hold one of them responsible, so all eager to bail themselves out and let investors bear the brunt.

 

[Dr Christopher Cheok C S]

Nationalization is a good theme for saturday's rally at Hong Lim Park. 3-4pm
Everyone please turn up with your spouse, family members and friends.

Whether government will help or not, depends on attendance. Just imagine the signal that investors send to the state when 10,000 or 50,000 gathers at Hong Lim with their families.

 

[xebay11]

Whether government will help or not, depends on attendance. Just imagine the signal that investors send to the state when 10,000 or 50,000 gathers at Hong Lim with their families.

Most probably will be a grand total of 3 investors.

 

[JustLikeThis]

The location for Hyflux Voting on April 5 is now changed to STAR VISTA
Next to BuonaVista MRT, u can walk over directly from MRT station

Date: Friday, 5 April 2019 Venue: 1 Vista Exchange Green, Singapore 138617
Time: For banks, holders of Notes and trade creditors: 12 noon
For holders of Perpetual Securities and Preference Shares: 7 pm

 

[JustLikeThis]

Star Vista is the hub for Olivia's satanist church
Let's turn up in strength and sink her.

UPDATES:
1. This is speculative but there is a high chance that the April 5 voting will be cancelled if this Saturday's 3-4pm Hong Lim Park attendance exceeds 20,000. In this way, we can win without going to the battle on April 5. In comparison, the highest turnout was clocked by Pink Dot (almost 30,000 pax) in 2015. So bring your friends and families along!

(People, please help message Mr Tan Cheng Bock on Facebook to join us? - I think he will be moved by our sincerity if more people invite him)

2. According to reliable insiders (not speculation), Hyflux is praying that notesholders attendance will be lower than townhall meeting.. Noteholders, please help us Vote-No for the Senior Creditor Class on April 5, 12 noon.

3. For Preference Shareholders and Perpetual Bondholders, the submitted NO votes (proxied to EY chairman) is less than $23million, as of last weekend. This is really not enough but I think many held back because of the confusing developments, OR proxied to other friends or volunteers (instead of EY chairman). We appeal to remaining Preference Shareholders & Perpetual Bondholders to turn up in person, on April 5, to make ourselves heard at 7pm.

 

[Soul]

is it true that Nominee banks will be voting YES for those who bought the PnPs using leverage or share-margin accounts and gone bust, because getting 3% is better than nothing? Isn't that a lot of YES votes to overcome?

 

[JustLikeThis]

is it true that Nominee banks will be voting YES for those who bought the PnPs using leverage or share-margin accounts and gone bust, because getting 3% is better than nothing? Isn't that a lot of YES votes to overcome?

Plausible, because they need to "act in good faith" for those who went bust. Offload for 3% if better than zero, because that they are answerable to the Insolvency Office.

However, I believe some banks will not dare to vote at all, because if it is going to be a close fight and one can argue that the banks' YES votes turned the tide and not "act in good faith". Let me use an example this week, a local bank and Indian bank affected the Mandarin Gardens enbloc because they hold many units.

 

[JustLikeThis]

OCBC also flagged the questionable valuations of Hyflux's assets in the past.
https://www.ocbc.com/assets/pdf/cre...019/ocbc asian credit daily - 22 mar 2019.pdf

Following the issuance of a default notice by The Public Utilities Board (“PUB”) 2 weeks back, PUB have issued a further press release confirming that

(1) PUB will ‘purchase’ only the Tuaspring Desalination Plant and not the entire Tuaspring integrated water and power project;
(2) the purchase price is effectively negative given the Desalination Plant has been generating losses and is expected to continue generating losses; and
(3) PUB is entitled to compensation under the Water Purchase Agreement.

While this development answers one important question regarding the compensation to be paid on any takeover, it doesn’t address many others including the likelihood for the scheme arrangement to continue. It also raises questions on the previously reported asset values of Tuaspring.

That said, we continue to see the possibility of a successful restructuring as looking increasingly remote given the time to remedy defaults shortened, the lack of time to provide updated information to scheme participants and the declining support of scheme voters.

 

[JustLikeThis]

Bloomberg
Dispute Between Singapore’s Hyflux and Its Rescuer Deepens

• The water firm says investors obliged to honor commitment
• Investor group disputes payout to creditors under agreement

A successful debt restructuring at the Singapore water treatment company is looking “increasingly remote” and challenges are mounting, Oversea-Chinese Banking Corp. said in a credit research note on Wednesday.

Hyflux said that its view is that the investor group is “obliged to honor its commitment to invest under the restructuring agreement” and the group has not stated that it “will resile from the restructuring agreement.”

If the investors seek to wrongfully terminate the restructuring agreement, the terms allow the company to lay claim to a S$38.9 million deposit, Hyflux said in the filing.
The company said it will hold meetings with creditors on April 5 and April 8 as scheduled.

 

[JustLikeThis]

Everyone please message Mr Tan Cheng Bock on his facebook and appeal him to support us at Hong Lim Park on this saturday, 3-4pm.

 

[Empower]

 

[Huatable]

Singapore government

 

[Soul]

The article said investors should vote with their heads, not heart.

But Ernst confirm think with their brains. (not just heads)

In Noble's chatgroups, Ernst planted people to mislead the investors using fake accounts.

Attention: I wish to clarify that I am not "Soul" in telegram discussion. Thank you @Maybe for the tip-off. Telegram discussion is in a mess. I swear that I am not "Soul" in the discussion

Apparently, @Maybe was right that EY really so despicable to plant people using fake accounts to mess up discussions.