<article>Catalist-listed <a href="http://sed.com.sg/">Singapore eDevelopment</a> has called off the deal to acquire China-based CloudTel Pte. Ltd, the company said in a filing with the local exchange.</article>

Catalist-listed <a href="http://sed.com.sg/">Singapore eDevelopment</a> has called off the deal to acquire China-based CloudTel Pte. Ltd, the company said in a filing with the local exchange.
In August 2014, the company had signed a memorandum of understanding to buy telecom hardware and software developer, CloudTel. Interestingly, CloudTel is 50% owned by Singapore eDevelopment’s chief executive Chan Heng Fai.
At that time, both companies had said the final price would be determined later based on the assessment of independent valuers, while also adding that the deal was subject to a shareholder vote.
&#8220;We will combine the capabilities (of HotApps and CloudTel) with our management&#8217;s business network and capital market expertise to accelerate growth for the two companies and for Singapore eDevelopment as it charts a new corporate destiny,&#8221; Chan had said in a statement last year.
At that time, the company had announced deals to buy both CloudTel as well as pay about S$98,000 to acquire software developer HotApps International. Singapore eDevelopment has now reiterated that it is on track to launch HotApp mobile application within the first quarter of this year.
Last year, Singapore eDevelopment had also sold its loss-making local construction subsidiary CCM Industrial, and then set up a new company in its place called Singapore Construction.
On Monday, the company, in a <a href="http://sed.com.sg/content/uploads/2015/02/20150202-Termination-of-CloudTel-MOU.pdf">statement</a> said: “The Board wishes to announce that the Company and the Vendors have terminated the MOU by mutual agreement as of today without liability to any party. This allows the Company to focus on development and commercialisation of HotApp mobile application. The Board further wishes to announce that the Company will continue to pursue appropriate opportunities to develop and grow its information technology -related business and as announced on 8 January 2015, the Company is expected to launch its HotApp mobile application within the first quarter of this year.”
Singapore eDevelopment shares fell 4.7% to close at 10.2 cents last Friday.

SG's eDevelopment calls off CloudTel deal

Bring stories like this into your inbox every day.

Sign up for our newsletter - The Daily Brief

SG's eDevelopment calls off CloudTel deal

Start your deal-making journey now!

Bring stories like this into your inbox every day.

Sign up for our newsletter - The Daily Brief