Marco Polo Marine clarifies statement, says firm's fundamentals are sound

MARCO Polo Marine said its statement on several cautionary risk factors released in the context of a consent solicitation exercise (CSE) should not be construed as saying that the company is presently unable or has doubt on its ability to operate as a going concern.

In a Singapore Exchange filing on Friday, the company assured that its business fundamentals are sound, notwithstanding the volatile economic climate and sectoral weakness.

This is supported by the positive Ebitda (earnings before interest, taxes, depreciation and amortisation) for the financial year ended Sept 30, 2015, and the nine months ended June 2016, at S$27.10 million and S$4.2 million respectively.

The firm was clarifying various news reports that it has expressed "substantial doubt on its ability to operate as a going concern".

The statement was extracted from one of the customary risk factors that the company disclosed as part of its CSE notice announcement on Sept 22 and was made in view of the lack of visibility in the recovery of oil prices which in turn would affect the recovery of the offshore and shipping industries in the medium term, it said.