Shares in Ezra Holdings plummeted another 11.1% today to close in Singapore on just 2.4 Singapore cents.
Investors have continued to punish the offshore firm as it struggles against legal action from Forland Subsea over unpaid charter fees and Bibby Offshore over unpaid debts for work carried out in Trinidad. It also admitted it might have to write off $170m from its investments in the EMAS Chiyoda Subsea joint venture.
Norway’s Ocean Yield served up more bad news Ezra’s way today, revealing that it has decided to cancel the bareboat charter of the Lewek Connector, a subsea construction vessel that had been with EMAS Chiyoda Subsea.
EMAS Chiyoda Subsea is owned 40% by Ezra, 35% by Chiyoda and 25% by NYK. Its obligations under the charter party for the Lewek Connector are guaranteed by Ezra.