Debt-rid­den MMA to sell sup­ply bases

Pilbara News - - News - Pe­ter Wil­liams

Strug­gling ma­rine ser­vices provider MMA has made a deal to sell its North West sup­ply bases to Toll Group to re­duce debt.

The an­nounce­ment came as the com­pany re­ported an im­pair­ment-fu­elled $324 mil­lion loss for the first half.

MMA said it would re­alise about $53 mil­lion from the sale of its Dampier sup­ply base and 50 per cent share in a Broome fa­cil­ity.

The trans­ac­tion — sub­ject to for­eign in­vest­ment ap­proval be­cause of Toll’s Ja­panese own­er­ship — is ex­pected to com­plete in April.

MMA chair­man Tony Howarth said the sale would re­po­si­tion the com­pany’s as­set port­fo­lio and was sup­ported by its bank­ing syn­di­cate.

“In re­cent years, the sup­ply base busi­ness has be­come less sig­nif­i­cant as the com­pany has fo­cused its strat­egy on its Aus­tralian and in­ter­na­tional off­shore ves­sel op­er­a­tions,” he said.

“Pro­ceeds from the sale will strengthen our bal­ance sheet and po­si­tion MMA to take advantage of im­proved oil and gas mar­ket con­di­tions when they oc­cur.”

Man­ag­ing di­rec­tor Jeff We­ber said MMA re­mained firmly com­mit­ted to the Aus­tralian mar­ket through its off­shore ves­sel ser­vices.

Pic­ture: Sharon Smith

MMA Off­shore man­ag­ing di­rec­tor Jeff Web­ber with chair­man Tony Howarth.

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