SingPost's U.S. e-commerce units seek bankruptcy protection

SINGAPORE, Sept 19 (Reuters) - Singapore Post Ltdsaid its two struggling U.S. e-commerce units, Jagged Peak andTradeGlobal, have filed voluntary petitions for Chapter 11bankruptcy protection as a six-month process to find buyers forthe businesses failed.

"Under the supervision of the bankruptcy court, the U.S.subsidiaries intend to pursue the sale of all or substantiallyall of their assets," SingPost said late on Wednesday.

The underperformance of the two firms has hit profits atSingPost, which counts Singapore Telecommunicationsand Alibaba Group Holdings as its biggest shareholders.

SingPost took an impairment of S$98.7 million ($72 million)on the carrying value of TradeGlobal and Jagged Peak in the yearended in March 2019, and had put them up for sale in April.

SingPost bought majority stakes in TradeGlobal and JaggedPeak for about $184.4 million in 2015, as part of an acquisitionspree under its previous chief executive.

The businesses provide e-commerce services, includinglogistics and website design.

($1 = 1.3771 Singapore dollars)(Reporting by Aradhana Aravindan in Singapore; Editing byHimani Sarkar)

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