SYZ Capital takes controlling stake of SINWA, the largest ship chandler in Singapore

Thursday, 02/07/2019

SYZ Capital, the boutique private markets investment and advisory specialist, announced today that it has taken a controlling stake in SINWA, the largest ship chandler in Singapore, supplying essential goods to ships and their crews. Backed by the SYZ Group and in close partnership with Thomas Zimmerhaeckel, this is SYZ Capital’s first direct investment backing a market leader.

February 7, 2019

For half a century, SINWA has been one of Asia Pacific’s leading marine, offshore supply and logistics’ companies, servicing ships in Singapore, China, Thailand and Australia. Having been listed on the Singapore Stock Exchange as Sinwa Limited since 2003, this transaction will see Sinwa become a private company again.

The news follows several turbulent years for the wider shipping industry that SINWA has weathered very well. In FY2017, revenue grew 13.4% year-on-year to a record SGD 172.6 million (USD 128 million) and the company reached a net profit of SGD 9.5 million (USD 7 million). Further revenue growth of 2.5% was achieved during the first nine months of 2018, demonstrating strong financial fundamentals.

Marc Syz, Managing Partner of SYZ Capital, says: “We believe there is a significant opportunity to participate in the consolidation of a fragmented sector serving global clients. With SINWA we truly have found a hidden gem which offers a strong platform to drive future value creation.”

Thomas Zimmerhaeckel, who partnered with SYZ Capital for this transaction and will become a Senior Adviser, commented: “Sinwa is a regional market leader with an excellent client reputation, strong management and proven internationalization capabilities. We are excited to back the Company and the management team for this next phase of growth.”

This acquisition is the first direct investment made by SYZ Capital since being founded last year. Thomas Zimmerhaeckel was key in making this deal happen. Both he and Marc Syz will be members of SINWA’s Board of Directors.

Sim Yong Teng, Executive Chairman of SINWA Limited, added: “We believe SYZ Capital and Thomas are pre-eminently suited to drive significant growth for SINWA across and beyond the region and create value for our clients and business associates. They have a clear growth strategy for the future, and we look forward to being part of the team in leading SINWA to become the leading player in the global Marine, Offshore and Logistics industry.”

United Overseas Bank acted as the sole financial advisor and provided debt financing for this transaction.