Forland issues statutory demand and winding up threat to Ezra

Financially-shaken Ezra Holdings has received a statutory demand from the solicitors of Forland Subsea on Monday in relation to a claim amount of approximately NOK25.5m ($3.1m) that is due and owed by Ezra acting as guarantor under a vessel charter contract.

The contract, inked on 4 December 2012, saw Forland agreed to charter its owned vessel Lewek Inspector to EMAS-AMC, which is wholly-owned by EMAS Chiyoda Subsea, a 40% owned associated firm of Ezra.

“The statutory demand stated that if payment for the sum demanded is not secured or compounded to the reasonable satisfaction of Forland within three weeks from the date of the statutory demand, the solicitors of Forland will apply for the company to be wound up by the High Court of Singapore (…),” Ezra stated.

Singapore-listed Ezra said it is currently seeking advice on the statutory demand.

Ezra announced earlier that it could face a $170m writedown on its joint venture firm EMAS Chiyoda Subsea, as the other joint venture partners Chiyoda Corporation and Nippon Yusen Kabushiki Kaisha (NYK) have confirmed writedowns of JPY38bn ($335.8m) and JPY13bn respectively.

Posted 07 February 2017
Lee Hong Liang

Asia Correspondent