Ezra Holdings exposed to Emas Chiyoda Subsea bankruptcyNews // March 3, 2017
Emas Offshore says Emas Chiyoda Subsea's financial problems and its recent Chapter 11 bankruptcy filing its holding will have a 'negative effect' on holding company Ezra Holdings Limited.
"The Emas Chiyoda Subsea Chapter 11 Filing may have a negative impact on Ezra and its subsidiaries and associated companies, including the group," said Emas Offshore. "The company is therefore currently seeking advice on the ECS Chapter 11 filing, as well as assessing the impact of such filing on the group.
"The group will work closely with its principal bankers to review all options to finalise the provision of additional working capital facilities as well as the documentation of the refinancing of its financial obligations."
Emas Offshore also said that although it recently reached in principle agreements with the substantial majority of its principal bankers on the refinancing of its financial obligations and the provision of additional working capital facilities, completion of the documentation for the ongoing initiatives, which were originally targeted to be concluded before the end of the second quarter of financial year 2017, has now been delayed.
The company has sought an extension of time from its principal banker to complete the process.