Robert Kuok’s Singapore-listed PACC Offshore Services Holdings (POSH) has reached an agreement with its joint venture partner to wind up POSH Terasea as the company continues to review its business.
POSH Terasea is a 50:50 joint venture between POSH and Terasea Pte, which is in turn a joint venture between Ezion Holdings and Seabridge Marine Services.
The joint venture was hit by default claims from creditors after the company defaulted on a $27.6m loan in September.
POSH said the potential financial impact arising from the liquidation of POSH Terasea is up to $42m.
The decision to liquidate POSH Terasea comes shortly after POSH took full control of its Pacific Workboats joint venture through acquiring the remaining equity stake in the company from Dolphin Shipping, a fully owned subsidiary of Sembcorp Marine.
“As the 100% shareholder of Pacific Workboats, POSH is now more agile in capturing related opportunities in the harbour services sector, including re-deploying select assets for longer-term charters overseas while serving clients in Singapore,” POSH said in a release.
Additionally, POSH had identified subsea and offshore renewables as key growth areas.