Ryobi Kiso awarded three letters of intent; reorganisation of liabilities ongoing

GROUND engineering solutions firm Ryobi Kiso, which is currently undergoing a court-supervised reorganisation process, on Monday announced that it has received three new letters of intent with a total value of S$10.6 million.

The new letters of intent involve the group performing bored piling works and soil improvement works for proposed residential developments.

Combined with the S$4.6 million contracts previously announced on Sept 28, the company has secured a total of S$15.2 million worth of new contracts.

Ryobi Kiso is undergoing a re-organisation of its liabilities following letters of demand from various creditors for sums totalling to millions of dollars.

On Aug 27, the firm said that it was granted a moratorium by the court, protecting it from legal proceedings and enforcement actions for six months, and allowing it more time for the reorganisation.

The court also ordered Ryobi Kiso to continue to service the debt obligations to its secured lenders while the moratorium remains in force.

The group said on July 31 that its subsidiaries intend to continue ongoing projects with minimal disruptions while it undertakes this court-supervised reorganisation process.

Ong Tiong Siew, chief executive officer and executive director of Ryobi Kiso, said: "The new letters of intent are further encouragement to the company through this restructuring process." He thanked stakeholders for their continued support.

Trading in Ryobi Kiso shares remains suspended.