Singapore's StarHub announced an agreement for Temasek to acquire D’Crypt from StarHub and D’Crypt’s founding shareholders.
Under the agreement, StarHub and the Founding Shareholders will sell their 100% stake in D’Crypt to Temasek for an initial aggregate cash consideration of SG$100 million, with an additional earn-out consideration of up to $33.6 million payable to the Founding Shareholders, subject to the achievement of agreed business and performance milestones.
As part of the transaction, Ensign InfoSecurity, a joint venture of Starhub with state investment firm Temasek will be issued preference shares and be fully entitled to the economic rights of D’Crypt. Following the transaction, StarHub will hold 60% of the economic interest in D’Crypt through its shareholding and interest in Ensign.
Upon completion, Ensign will work closely with D’Crypt’s customers, partners and employees (including the Founding Shareholders). D’Crypt’s existing business and ongoing research and development projects will continue as usual, and both parties look forward to a stronger business collaboration for mutual benefit.