SATS shareholders approve WFS acquisition
18 / 01 / 2023
Singapore-based SATS’ shareholders have voted to approve the planned takeover of cargo-handling giant Worldwide Flight Services (WFS).
At an Extraordinary General Meeting on January 18, 96.8% of the total number of votes were in favour of a resolution to approve the transaction.
With the receipt of shareholder approvals, the deal is now subject to requisite regulatory approvals.
SATS said it hoped the transaction will be completed in March or April of this year.
Kerry Mok, president and chief executive of SATS, said: “It is a clear demonstration that our shareholders recognise the strategic value and growth opportunities that this transformational deal will unlock for SATS and all of our stakeholders.
“We will be better positioned to provide our global customer base with end-to-end solutions, while securing a pathway to profitable growth and uplifting our home-market base in Singapore.”
The Singapore-based aviation services company struck a deal last September to buy WFS from an affiliate of asset investor Cerberus Capital Management in a transaction with an enterprise value of €2.25bn.
Last month, SATS finalised its funding plan for the proposed acquisition.
The funding plan for the total acquisition cost of S$1.8bn is a mix of term loan and renounceable underwritten rights issue, with the remaining amount financed by internal cash balance.