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Latest NewsMarch 2006ST Electronics Increases Shareholding In And Singapore, 31 March 2006 — Singapore Technologies Electronics Limited (ST Electronics) today announced it has entered into an agreement with SMRT Engineering Pte Ltd (SMRTE) whereby both parties will each subscribe for 6,500,000 new ordinary shares valued at $6.5 million in joint-venture (JV) company, Transys Pte Ltd (Transys). Transys was formed in December 2000 as a JV between SMRTE and ST Electronics with each shareholder holding 1,500,000 ordinary shares respectively. ST Electronics is the electronics arm of Singapore Technologies Engineering Ltd (ST Engineering). Subsequent to the above, ST Electronics will purchase SMRTE’s enlarged shareholding of 8,000,000 ordinary shares in Transys from SMRTE for a total consideration of $1.00. The consideration for the sale of SMRTE’s shares in Transys to STE was arrived at on a willing buyer and willing seller basis, taking into account the adjusted net asset value and agreed exit value of Transys. The exit value was based on an independent valuation of Transys. Upon completion of the purchase, Transys becomes a wholly-owned subsidiary of ST Electronics. The purchase is not expected to have any material impact on the consolidated net tangible assets per share and earnings per share of ST Engineering for the current financial year. The proceeds of the said subscription will be used to fund Transys’ projected financial requirements on existing projects to completion. ST Electronics plans to continue to grow its rail and transit electronic systems in the region, in particular in China. With Transys as a wholly-owned subsidiary, ST Electronics can widen its scope of business in transit electronic systems and strengthen its core transportation system business. Transys was a joint-venture set up in November 2000 by ST Electronics and SMRT Engineering Ltd for the development and marketing of railway related products and services in the Asia-Pacific region. It has focused on providing rail transportation solutions which includes automatic fare collection systems, platform screen doors for underground mass rapid transit stations and intelligent rail information systems for trains and stations. SMRT Engineering Pte Ltd, a wholly-owned subsidiary of SMRT Corporation Ltd was set up in August 1999. Leveraging its expertise in land transport, it offers Operations and Maintenance services, engineering consultancy and project management expertise in Singapore and overseas. ST Electronics, the electronics arm of ST Engineering, delivers innovative system solutions to government, commercial, defence, and industrial customers worldwide. It specialises in the design, development and integration of advanced electronics systems, such as broadband radio frequency and satellite communication, e-government solutions, information communications technologies, rail and traffic management, real-time command & control, training and simulation, digital media, intelligent building management, and information security and mobile commerce solutions. Please visit www.stee.stengg.com. ST Engineering is an integrated engineering group providing solutions and services in the aerospace, electronics, land systems and marine sectors. Headquartered in Singapore, the Group reported revenues of $3.34b in FY2005. Its market capitalisation of over $8b ranks it among the largest companies listed on the Singapore Exchange. ST Engineering has about 16,000 employees worldwide, and over 100 subsidiaries and associated companies in 17 countries and 29 cities. Please visit www.stengg.com. Media contact:Magdalen Loh
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