Singamas extends container services contract with controlling shareholder PIL Group

Singamas Container Holdings Limited announced a new Master Services Contract 2026 with Pacific International Lines (PIL), its controlling shareholder, for the provision of container depot and logistics services. The new contract, effective from January 1, 2026 to December 31, 2028, will replace the existing Master Services Contract 2023, which expires on December 31, 2025. This agreement constitutes continuing connected transactions for Singamas.

The estimated annual caps for the transactions under the Master Services Contract 2026 for each financial year ending December 31, 2026, 2027, and 2028 are US$5m. These caps were determined considering historical transaction amounts, estimated growth in demand from PIL Group, anticipated inflationary pressures, and a buffer for market fluctuations. The services provided will include container handling, storage, inspection, repair, maintenance, and trucking, with pricing based on estimated costs plus a 10% to 30% markup, no less favorable than to independent third parties.

The transactions are subject to annual reporting, announcement, and review requirements but are exempt from circular and shareholders' approval under Listing Rule 14A.76(2), as applicable percentage ratios (other than profit ratio) exceed 0.1% but are less than 5%. Directors of both Singamas and PIL, Teo Siong Seng and Ng Wai Lim, abstained from voting on the resolution.