‘Serba Dinamik not in talks with Sarawak government’

This article first appeared in The Edge Financial Daily, on February 11, 2020.
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KUALA LUMPUR: Serba Dinamik Holdings Bhd has clarified that it is not in talks with the Sarawak government to take over Brooke Dockyard and Engineering Works Corp.

The energy services group said this in a brief statement in response to a report in The Edge Financial Daily yesterday titled “Serba Dinamik in talks to take over state-owned fabrication yard”.

The report, citing a source familiar with the matter, said the group is currently in the early stage of negotiations with the state government about the acquisition.

Brooke Dockyard had slipped into financial trouble after it incurred RM100 million of losses caused by a contract it had undertaken, the source said, adding that it is no longer economically viable for the state government to hold onto the asset.

Based in Sarawak, Brooke Dockyard is involved in the oil and gas services sector, including maintenance, repair and overhaul — in which Serba Dinamik has a presence.

The shares price of Serba Dinamik closed down two sen or 0.86% at RM2.30 yesterday, with a market capitalisation of RM7.09 billion.