Buyout firm KKR is investing $113.8 million in United Envirotech, a provider of engineering services to municipal and industrial waste-water treatment projects. United Envirotech also operates a portfolio of waste-water treatment plants across China. It has been listed on the Singapore Exchange SGX since 2004.
KKR has agreed to buy convertible bonds carrying a coupon of 2.5%, which will convert into equity shares at a conversion price of S$0.45 per share any time during the next five years. The agreed price represents a 37.3% premium to the average closing price of United Envirotech on the SGX for the 30 trading days to July 30. Assuming KKR exercises its right to...