O&M players have their backs to wall on tightening cash flows
Ezra unit defaults on payment for charter hires guaranteed by parent company
Singapore
EZRA Holdings and other small- to mid-cap listed offshore and marine counters face increasing cashflow pressure threatening their ability to service debts and interest obligations as contracting activity has yet to rebound from multi-year lows, even as the recent oil price hikes buoy hopes of the O&M sector starting a journey to recovery.
The cracks have surfaced over the weekend for Ezra, with its two trade creditors, Forland Subsea AS and Ocean Yield ASA, divulging the subsea subsidiary of the holding company could not service the bareboat charters on two ships, Lewek Inspector and Lewek Connector.
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Companies & Markets
Honda to spend US$11 billion on EV strategy in Canada
GlaxoSmithKline sues Pfizer and BioNTech over Covid-19 vaccine technology
Mapletree Industrial Trust Q4 DPU rises 0.9% to S$0.0336
Nasdaq’s profit falls as shaky economy keeps IPO revival elusive
iFast Q1 net profit surges on ePension unit performance
Suntec Reit Q1 DPU down 13% to S$0.01511 in absence of capital distribution