Servomarin Industries Corp.

Servomarin Industries Corp.

April 15, 2015 13:37 ET

Servomarin Industries Completes Acquisition

VANCOUVER, BRITISH COLUMBIA--(Marketwired - April 15, 2015) - Servomarin Industries Corp. ("Servomarin" or the "Company") is pleased to announce that it has completed the previously announced acquisition of all the issued and outstanding shares of Servomarin Sdn. Bhd. ("SSB") (the "Acquisition"), a Malaysian registered company, through its wholly-owned subsidiary Servomarin Holdings S.A., a BVI registered holding company.

The Acquisition

The Acquisition is an arms-length transaction pursuant to a letter of intent (the "LOI") dated September 15, 2014, an Assignment Agreement dated December 9, 2014, and the Share Exchange Agreement (the "Agreement") dated March 10, 2015, whereby the Company, SSB, and the shareholders of the Company and SSB, unanimously agreed that the Company would acquire SSB by the issuance of 50 million common shares of the Company pro-rata to the shareholders of SSB (the "Vendors") in exchange for all of the issued and outstanding shares of SSB.

The agreed valuation of the Acquisition was $1,400,000.00, satisfied by the Company issuing a total of 50 million common shares to the Vendors at a price of $0.028 per share, in accordance with the Agreement. The Vendors, as a condition of the Acquisition, have entered into a structured pooling arrangement, governed by a Shareholders' Agreement, which places significant restrictions and conditions on share transferability.

As a result of the Acquisition, SSB is now a wholly-owned indirect subsidiary of the Company. Servomarin will continue to operate the SSB business through the BVI subsidiary as well as operate SSB's Kuala Lumpur office and business operations with existing management in place. The former shareholders of SSB include Heshameldin Fathi Mohamed Khalil, Nazhatul Aqilah Binti Mohd Thani, and Mohammad Idham Bin Mahdi @ Mahadi, who remain as officers and directors of SSB. Mr. Hesham Fathi remains President of SSB and becomes a director of the Company, while Mr. Wayne Koshman, a director and corporate secretary of the Company, has joined SSB as its Managing Director effective March 27, 2015.

About Servomarin Industries Corp.

In accordance with the Company's former parent's Plan of Arrangement (the "Arrangement"), as more fully disclosed in Asean Energy Corp's Management Information Circular dated January 20th, the Company was spun out as 1016183 B.C. Ltd., a "Reporting Issuer", in consideration for the issuance of common shares of the Company, and the distribution of these common shares to Asean Energy's shareholders, on a pro rata basis. The Arrangement received unanimous shareholders' support on March 2nd and a final order from the Supreme Court of British Columbia on March 5th. The Company underwent its name change and was spun out from Asean Energy effective on the Record Date of March 12th.

About Servomarin Sdn. Bhd.

SSB is in the business of providing onshore and offshore oilfield services and inspection, AIM (Asset Integrity Management) solutions specializing in plant & pipeline integrity, advanced NDT (Non-Destructive Testing) and quality assurance, a high-growth recession-resistant sector of the oil and gas industry. SSB's established partnerships and strategic agreements provide ready access to all technical, engineering, vessels, equipment and personnel support as and when required to service clients in the oil, gas, petrochemical, transportation and manufacturing industries in Southeast Asia. The market in Asia continues to focus on production, with increased activity in inspection, maintenance and repair (IMR) and life-of-field services. SSB is building robust relationships with licensed Petronas contractors and suppliers, with a focus on the shallow offshore and onshore IMR market.

ON BEHALF OF SERVOMARIN INDUSTRIES CORP.

Robert van Santen, Chief Executive Officer

Some of the statements contained in this press release are forward-looking statements and information within the meaning of applicable securities laws. Forward-looking statements and information can be identified by the use of words such as "expects", "intends", "is expected", "potential", "suggests" or variations of such words or phrases, or statements that certain actions, events or results "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements and information are not historical facts and are subject to a number of risks and uncertainties beyond the Company's control. Actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this news release. Accordingly, readers should not place undue reliance on forward-looking statements. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking statements, except as may be required by law. The Company will provide further updates respecting these initiatives as developments occur. There can be no assurance that interests in any or all of these or additional projects being pursued will be acquired, funded and/or commercialized.

Contact Information

  • Servomarin Industries Corp.
    Greg Patchell
    Manager, Public Relations
    Telephone: +1 250 860 8634