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Rare protest in Singapore anger investors flags in Hyflux fiasco


Hyflux Tuaspring subsidiary in Singapore. (AFP photo)

Singapore: A rare public outcry in Singapore on Saturday stressed the mounting anger among investors set to suffer sharp losses in one of the highest profile corporate restructuring the country's debt.

The catastrophic collapse of the once vaunted water and energy company, Hyflux stunned debt holders, who stand to lose about 90%.

About 400 to 500 of these individual investors gathered in the center of the park, known as the Corner speaker on Saturday, carrying banners and posters.

"There are many questions to be answered," said Ray Ho, 65-year-old pensioner who invested in the company's perpetual bonds.

The investment was a "leap of faith". These people's savings. As you might expect retail investors, which are not so difficult to make a difference? "

Wendy Yap, 48, said she put approximately S $ 70,000 (US $ 52,000) in stock Hyflux in 2014 and left her investments untouched for at least three years in the belief that the utilities have been cash cows.

"This is a hopeless case," she said, adding that her husband also some investment in a company. "But there is a lack of concern here? We need to know the answer. "

In the center of the defeat to the & # 39 is Tuaspring, Hyflux desalination and power plant, which has been declared as one of the "national taps" to the island, which has long depended on imported water and collecting rainwater for survival.

Tuaspring opened a large pump in September 2013, but the loss of an avalanche after the gas turbine power plant has started selling excess capacity in 2016 to the power system, which had a surplus of electricity caused by market liberalization.

Some of the placards of the protesters called for the government, such as the Monetary Authority of Singapore to launch an investigation and Hyflux Ltd. auditor KPMG to speak on this issue.

stumble Hyflux has highlighted the plight of about 34,000 retail investors who were lured by the promise of an annual return of 6% for all of us, which seemed to have a gold seal of approval of the government.

Investors who bought S $ 900 million perpetual securities Hyflux were outraged by the sharp haircut, which will be imposed by a S $ 2.8 billion restructuring plan.

The junior lenders, they can lose about 90%, while senior lenders look at the loss of 75%.

Now even that looks uncertain as key deadlines loom and the dispute with the bride company deepens.

SM Investments, a closely held consortium of Indonesian businessmen, who agreed last year to take a controlling stake in the company, said that he does not approve the allocation of funds for working capital and repayment of creditors offered Hyflux under the supervision of a court plan.

Board of Public Utilities of the failure message is provided to Tuaspring March 5, with reference to the operational and financial blunders, while he agreed to give more time for the integrated water and power to remedy the default in a statement Friday.

He is willing to pay $ 0, to take Tuaspring Hyflux desalination plant, in the rejection of the payment of compensation due to the defaults.

SM Investments said that it may abandon his plan of salvation, if the default is not remedied before April 1.

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