NEW YORK - Chinese conglomerate CITIC and US investment firm KKR said Wednesday they are joining forces to acquire the Singaporean environmental services company United Envirotech Ltd. in a deal that values the latter at around US$1.5 billion (S$1.9 billion).
The two companies announced their plan to make a joint bid for all of the shares of UEL, which is listed on the Singapore stock market.
The deal values the targeted firm at S$1.9 billion, or 1.2 billion euros.
KKR is already the main shareholder in UEL, with a 25.8 per cent stake, according to figures from Bloomberg.
But after the transaction, which would be followed by a capital increase, KKR would be surpassed by CITIC as the controlling shareholder via the consortium that CITIC will form with KKR, the statement said.
UEL is active in the market for membrane-based water treatment, mainly for industrial clients in China.
Last year UEL posted profits equivalent to US$24 million (19 million euros) on revenue of US$143 million (115 million euros).