Sembcorp Marine Ltd. has disposed of its 70% equity interest in Shanghai Guofeng Marine Engineering and Technology Co. Ltd. (SGMET) to the other existing shareholder for RMB 5.8 million (US$1.3 million), according to an April 7 stock exchange announcement.

Following completion of the disposal, Sembcorp will no longer have any interest in SGMET, which will cease being a subsidiary of Sembcorp.

SGMET’s principal activity is in R&D of technologies for civil ships and equipment for oceanics industries and the provision of related technical consultation services. Sembcorp said the sale is in line with its strategy to realize investment in non-core business and its commitment to optimize profitability and operations.

Sembcorp said it intends to apply the net proceeds toward its working capital.