<article><a style="color: #000080;" href="http://dealstreetasia.com/tag/gke-corporation" target="_blank">GKE Corporation</a> announced it will acquire the entire issued share capital of <a style="color: #000080;" href="http://www.tnsocean.com/" target="_blank">TNS Ocean Lines</a> from its vendors for a purchase consideration S$9 million (US$6.65 million).</article>

<a style="color: #000080;" href="http://dealstreetasia.com/tag/gke-corporation" target="_blank">GKE Corporation</a> announced it will acquire the entire issued share capital of <a style="color: #000080;" href="http://www.tnsocean.com/" target="_blank">TNS Ocean Lines</a> from its vendors for a purchase consideration S$9 million (US$6.65 million).
TNS is an operational maritime logistics business principally engaged in the business of providing stevedoring and lighterage services, lashing, wharf operation services and transportation of mariner materials by sea.
This acquisitive transaction will see the TNS become a wholly-owned subsidiary of GKE. Incorporated in 1995, TNS has an issued and paid-up capital of S$2,496,000 divided into 2,416,000 ordinary shares as of 29 July 2016, according to a <a style="color: #000080;" href="http://infopub.sgx.com/FileOpen/GKE%20-%20Signing%20of%20Binding%20MOU.ashx?App=Announcement&amp;FileID=414683" target="_blank">stock exchange filing</a>.
According to GKE Corporation, the proposed Acquisition, besides being a strategic fit, also presents an opportunity for GKE to collaborate with TNS in  expanding its  port management and logistics services into new overseas markets.
GKE says the total sum of S$9 million will be satisfied with S$2.7 million in cash, amounting 30 per cent of the aggregate. The remaining 70 per cent (i.e. S$6.3 million) will be paid via the issue of 52.5 million new GKE shares or a transfer of treasury shares in the capital of GKE at an issue price of S$0.12 per share upon fulfilment.
Vendors involved in the sale have committed to a profit guarantee of S$3.5 million for three years from the date of acquisitions&#8217; completion, as well as a three-year moratorium undertaking for the consideration shares.
Neo Cheow Hui, CEO and Executive Director of GKE, said, “The proposed acquisition aligns with the Group’s objectives to broaden and strengthen our earnings base. TNS is a strategic lateral expansion for GKE to extend our existing logistics services to the maritime logistics sector, particularly, in port operations.&#8221;
&#8220;As an established port operations &amp; logistics service provider, TNS is profitable and the proposed acquisition is earnings accretive. This will give an immediate boost to the Group’s earnings base and will also create synergistic opportunities to drive growth in our warehousing &amp; logistics business division in the long term,” Neo added.
According to Neo, the acquisition will provide an &#8220;mmediate boost to the Group’s earnings base&#8221; and drive long-term growth in its warehousing and logistics business divisions.
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GKE Corporation is acquiring TNS Ocean Lines from its vendors for a consideration of S$9 million

Singapore: GKE Corporation acquires TNS Ocean Lines in $6.65m deal

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Singapore: GKE Corporation acquires TNS Ocean Lines in $6.65m deal

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