Ezra seeks con­sent to amend terms of 2018 bonds

The Sun (Malaysia) - - SUNBIZ -

SIN­GA­PORE: Sin­ga­pore’s Ezra Hold­ings Ltd, one of the city-state’s many oil­field ser­vice firms hit by a down­turn in oil mar­kets, said it was seek­ing bond­hold­ers’ con­sent to amend the terms of S$150 mil­lion (RM456 mil­lion) worth of 2018 notes.

The con­sent on the 4.875% notes was nec­es­sary to avoid any po­ten­tial covenant breaches or de­fault, the com­pany said yes­ter­day.

The sub­mis­sion comes af­ter Peri­sai Pe­tro­leum Te­knologi Ber­had, an as­so­ciate com­pany of Ezra, de­faulted on its debt.

Ezra, whose shares have fallen about 56% in the past year, said an ex­tra­or­di­nary gen­eral meet­ing for bond­hold­ers will take place on Nov 9.

Peri­sai said last week it was in dis­cus­sions with a fi­nan­cial in­sti­tu­tion to se­cure fi­nanc­ing that may al­low the com­pany to ne­go­ti­ate a mu­tu­ally ac­cept­able debt re­struc­tur­ing with its cred­i­tors.

“In the event that Peri­sai is not suc­cess­ful in ne­go­ti­at­ing a favourable out­come with hold­ers of the Peri­sai notes, Ezra may need to as­sess its in­vest­ment in Peri­sai and the ac­count­ing im­pact aris­ing from this,” Ezra said in a statement.

Sev­eral firms in the off­shore and marine sec­tor, in­clud­ing oil and gas ser­vice provider Swissco Hold­ings Ltd and con­tainer ship owner Rick­mers Mar­itime, have re­cently sought to re­struc­ture debt.

Oil­field ser­vices firm Swiber Hold­ings, which ini­tially filed for liq­ui­da­tion, gained court ap­proval this month to place it­self un­der ju­di­cial man­age­ment. – Reuters

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