Ezra could face winding-up order from $3.2m VT Halter demand

This is the second statutory demand against Ezra following an earlier demand issued by Forland Subsea on 7 February in relation to a claim of around $3.1m, also due to Ezra acting as guarantor for ECS.

On 6 March, US-based VTH filed a civil action lawsuit against Ezra and ECS US, wholly-owned by ECS, in a US court.

The statutory demand stated that if payment for the sum demanded is not made to VTH within 21 days from the date of the statutory demand, VTH may apply for Ezra to be wound up.

The claim by VTH arose from a loan agreement entered into between VTH and ECS US in February 2015.

ECS, together with its subsidiaries, have filed for bankruptcy protection under Chapter 11 on 28 February this year.

Ezra has an exposure of approximately $900m as a guarantor to its 40% owned ECS, as well as substantial contingent liabilities that are not yet quantified.

Singapore-listed Ezra said it is seeking legal advice and assessing the impact of the statutory demand against the group.