Rex International Significantly Increases Ownership in Lime Petroleum Holding: Implications for Investors

Key Points

• Rex International Holding Limited (SGX: 5WH) has increased its stake in its subsidiary, Lime Petroleum Holding AS (“LPH”).
• The transfer of LPH shares to Rex International Investments (“RII”) has been completed as part of a previously announced transaction.
• The new shareholding structure of LPH is: RII (89.74%), MMH (4.51%), Schroder & Co Banque S.A. (4.30%), and Peter M. Steimler (1.45%).
• The deal was first announced on 25 September 2025, with the transfer being confirmed on 1 October 2025.

Details and Analysis

Rex International Holding Limited, a Singapore-listed oil and gas company, has moved decisively to consolidate its control over Lime Petroleum Holding AS (LPH), its key upstream oil and gas subsidiary. The company announced that it has completed the acquisition of additional shares in LPH through its investment arm, Rex International Investments (RII).

Post-transaction, Rex International now holds an overwhelming 89.74% controlling interest in LPH. The remaining shares are held by minority shareholders: MMH (4.51%), Schroder & Co Banque S.A. (4.30%), and Peter M. Steimler (1.45%). This significant increase in effective ownership underscores Rex’s commitment to strengthening its position in the North Sea oil and gas sector, where LPH is an active operator.

The transfer of shares follows the salient terms of an agreement first disclosed on 25 September 2025. While the full terms are not reiterated in this update, the completion of the transfer signals management’s confidence in LPH’s asset portfolio and future growth prospects.

Why This Matters for Shareholders

• Control and Strategic Flexibility: With nearly 90% ownership, Rex International can now drive LPH’s strategic direction with minimal resistance from minority shareholders.
• Financial Consolidation: The increased stake may allow Rex to consolidate more of LPH’s revenues and profits, potentially improving the parent company’s financial performance and attractiveness to investors.
• Potential for Value Creation: As LPH is a core asset in the company’s portfolio, higher ownership could mean direct benefits from any operational upside, new discoveries, or successful project executions.
• Share Price Sensitivity: Investors should monitor any further announcements regarding LPH’s operational performance, as increased exposure also means greater risk if LPH underperforms.

The move is likely to be viewed positively by the market, as it demonstrates Rex International’s confidence in LPH and the strategic importance of the subsidiary. Investors seeking exposure to North Sea oil and gas assets may find Rex International’s increasing control over LPH an attractive development.

Conclusion

This transaction represents a major shift in Rex International’s group structure, providing it with enhanced control and a larger share of the upside from LPH. Shareholders should pay close attention to further operational updates from LPH, as any changes in its performance or reserves could have a magnified impact on Rex International’s valuation and share price.

Disclaimer

This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own research or consult a qualified financial advisor before making investment decisions. The author and publisher accept no liability for any losses incurred from reliance on this information.

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