Covid-19: Virus and Singapore's shutdown delays Ezion's rescue deal

THE Covid-19 pandemic and ensuing closure of non-essential workplace premises during Singapore's "circuit breaker" period has delayed the application for Ezion Holdings' proposed scheme of arrangement with white knight Yinson Holdings, the troubled offshore and marine group said on Friday.  

Under the rescue deal - which lapsed last October and was revived in March this year, Ezion was supposed to see its debts of some US$1.6 billion pared to about US$403 million. In return, Malaysia-listed Yinson would fork out US$150 million for a 63.4 per cent stake in the troubled offshore and marine group. 

Ezion said it will keep stakeholders informed of any further developments.

In February, Ezion posted a narrower fourth-quarter loss of US$167.1 million, compared with a loss of US$390.8 million the year before. The group recorded lower other operating expenses of US$71.8 million, down 80.3 per cent from US$362.1 million, largely due to impairments and write-offs incurred in 2018. Trading in Ezion's shares has been suspended since March 1, 2019, pending talks with a potential strategic investor. They last traded at 4.3 Singapore cents each.