Vallianz has signed an agreement with CSR Zhuzhou Electric Locomotive Research Institute (Hong Kong) Co and CRRC (Hong Kong) Co, both subsidiaries of CRRC, for them to invest SGD23.65m ($16.55m) to take a 14% stake.
The deal will allow Vallianz to leverage on CRRC’s diesel electric technology and allow the company to move towards a wider use of environmentally-friendly vessels utilising electric propulsion systems. Vallianz expects the move to raise its vessels’ fuel efficiency and yield cost savings for customers.
“Being a leading player in the global rail equipment industry, CCRC has developed sophisticated systems of international standards. Given the scale and geographical reach of our vessel operations, Vallianz will be able to provide an ideal platform for CRRC to extend the applications of its technologies and products into the global offshore and marine market,” said Ling Yong Wah, ceo of Vallianz.
Jiang Yi, deputy general manager of CRRC Zhuzhou Electric Locomotive Research Institute Co, said: “We identified Vallianz as the company possessing the capabilities to become our strategic partner and to help CRRC realise our plans to expand into the offshore and marine sector.”
Upon completion of the proposed transaction, CRRC will emergy as a substantial shareholder of Vallianz with approximately 13.9% in Vallianz’s enlarged share capital.
Together with Vallianz’s existing shareholders Swiber and Rawabi, they will own a combined approximately 53.6% in Vallianz.
Copyright © 2024. All rights reserved. Seatrade, a trading name of Informa Markets (UK) Limited. Add Seatrade Maritime News to your Google News feed.
