Struggling Singaporean offshore shipbuilder and vessel charterer ASL Marine will meet with holders of its outstanding medium-term notes next week to try and get some breathing room.
In a letter to noteholders published on Friday night, chairman Christopher Chong said that the group’s recovery from the business downcycle is taking longer than expected and ASL is holding ongoing discussions with its principal bankers on possible additional working capital lines.
“In light of the slower than expected recovery in the shipbuilding segment, the group has progressively shifted its focus to the shiprepair segment. There is an increase in ship repair projects as many upstream players are readying their vessels for deployment opportunities,” Chong revealed, adding that he felt there was little chance of shipbuilding seeing an improvement in the next 12 months.
