SINGAPORE (July 7): Serba Dinamik International, just over two years after taking a stake of around 25% in engineering firm CSE Global, has exited from the investment by selling the whole chunk to Heliconia Capital Management for the same price it paid at 45 cents each.

Heliconia, via the various funds it manages, bought the CSE Global shares from Serba Dinamik via a married deal. The fund management firm, a subsidiary of Temasek Holdings, has asked for two board seats: one for Lim How Teck, chairman of Heliconia and Derek Lau, Heliconia’s CEO. 

Serba Dinamik, a Malaysian engineering firm, is now represented on CSE Global’s board by Dato Karim, group managing director and deputy chairman of Serba Dinamik Holdings Bhd. He sits on CSE Global’s board as its deputy chairman.

Syed Nazim Bin Syed Faisal, the former chief financial officer of Serba Dinamik, sits on CSE Global’s board as non-executive and non-independent director. Earlier in the day, Serba Dinamik announced that Azhan Azmi, previously the group financial controller, has been promoted to the CFO job. Syed Nazim, meanwhile, has been made a non-independent executive director.

CSE Global’s nominating committee is reviewing Heliconia’s request.

“The Group will be in a stronger position to expand our businesses both in the Singapore and overseas markets with a strong institutional shareholder base,” says Lim Boon Kheng, CEO of CSE Global.

“CSE has done well building up a suite of engineering capabilities and integrated solutions that are highly sought after by their customers executing high value, mission critical projects around the world,” says Lau, Heliconia’s CEO.

On June 2, CSE Global reported a 23.1% y-o-y increase in earnings to $7.1 million for its 1QFY2020 ended March 31 2020. Revenue in the same period increased by 56% y-o-y to $131.85 million.

As at end March 2020, its order book was $302.7 million, up 66.9% y-o-y. 

CSE Global shares closed July 7 at 46 cents, up 3.37% for the day but down 17.9% year to date.