An SMRT insider has forwarded us an email written by SMRT’s human resources on 29 Sep, informing their staff about the recently concluded SMRT Corp minority shareholders’ meeting. 98.84 percent of SMRT’s minority shareholders approved the sale of SMRT assets to the Land Transport Authority at the meeting. 84.83 percent also approved the takeover bid by Temasek Holdings.
The email seems to be written to assuage employees of SMRT that their jobs were secure, and the reasons why they would have to migrate to the new rail financing framework.
The leaked email said: “With the above changes, SMRT will be in a better position to serve our commuters – providing them with safe and smooth journeys, as well as quality customer service.”
The email further confirmed that SMRT Trains will be transiting to the NRFF with effect from 1 October 2016. And that once the High Court gives the approval, a wholly-owned subsidiary of Temasek will buy over all the shares which Temasek does not already own.
The following is the text of the leaked email.
To: All Employees
Date: 29 September 2016
New Rail Financing Framework (NRFF) and Privatisation Approved
Earlier today at The Star Theatre, SMRT held meetings with shareholders to vote on two important matters.
At the first meeting, shareholders voted on the proposed sale of our rail operating assets, such as our trains and signalling systems, to the Land Transport Authority in connection with the New Rail Financing Framework (NRFF). This is a welcome change to the current rail financing framework, which has become financially unsustainable. The proposed sale eventually received shareholders’ approval. SMRT Trains will be transiting to the NRFF with effect from 1 October 2016.
At the second meeting, shareholders voted on the proposed privatisation of SMRT, whereby a wholly-owned subsidiary of Temasek will buy over all the shares which Temasek does not already own. The motion was approved by our minority shareholders. The next step is for SMRT to seek approval from the High Court. Once approved, SMRT Corporation will, upon the Scheme becoming effective and binding in accordance with its terms, be delisted from the Singapore Exchange and become a wholly-owned subsidiary of Temasek. This is expected to take place next month. Kindly refer to future announcements by SMRT and/or the Singapore Exchange for the exact date of the delisting.
With the above changes, SMRT will be in a better position to serve our commuters – providing them with safe and smooth journeys, as well as quality customer service. As we forge ahead, our people remain at the heart and core of SMRT. As emphasised previously, your employment at SMRT remains secure and there will be no change to your employment terms and benefits.
Let us all work hard to serve our commuters well and grow our company. As we enter our 30th year of operations next year, let us work together as one to achieve our vision of Moving People, Enhancing Lives.