United Engineers Disposes PT United Engineers Indonesia For IDR70 Billion

United Engineers has announced that the group and its wholly-owned subsidiary, UE Support Services, have disposed their stakes of 98 percent and 1.2 percent respectively in PT United Engineers Indonesia (PTUEI) for a consideration of IDR70 billion (approximately $7. 2 million).

PTUEI is a company incorporated in Indonesia, and its principal activity is in the fabrication of steel structures for mining, oil & gas and construction sectors. The net tangible asset value of PTUEI is negative $0.3 million as at 30 September 2015.

The gain from the sale is approximately $13.2 million, after taking into consideration the transaction costs and realisation of foreign exchange reserves. Following the sale, PTUEI has ceased to be a subsidiary of the group and represents part of the group’s ongoing strategy to divest its non-core assets and to streamline its operations.

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