International Cement Group (ICG) has failed to receive approval from the Singapore Exchange (SGX) for the complete acquisition of Schwenk Namibia, valued at US$104.4m, according to Business Standard.

The exchange has stated that the acquisition does not satisfy a requirement for the target business to be profitable. SGX also noted that ICG does not have sufficient cash resources to fund the acquisition and possibly intends to obtain significant external loans from financial institutions and a shareholders’ loan.

"Such loans when considered with the potential losses of Schwenk Namibia will result in a material adverse financial impact on the enlarged group," stated SGX.