In a move which is likely to spook investors, Singapore’s Ezra Holdings has applied to the Singapore Exchange for an extension of time to delay the announcements of the group’s full year financials.
Ezra said the delay is related to Perisai Petroleum Teknologi, which Ezra owns a 19.47% stake in, after the Malaysian company defaulted on a S$125m bond earlier this month.
Perisai faces a winding up order from private investor, Ravi Murarka, who invested S$15m in the bond. SJR Marine, owned by both Perisai and Ezra subsidiary EMAS Offshore, has also defaulted on a financing facility provided by OCBC Al-Amin Bank. The bank is seeking immediate repayment of $20.5m.
Ezra said it needs to work out what impairments may be required to account for the collapse of its investment and also consider whether there is a need to impair the value of vessels jointly owned by the group and Perisai.
The uncertainty surrounding the investment could cause further woes for Ezra, who’s investors are currently considering a proposal asking for waivers on a number of debt covenants related to its $150 million notes due in 2018.
Meanwhile, EMAS Offshore announced a full year net loss of $265.3 million.