Ezion: Yinson still in talks with lenders on debt agreements

Ezion Holdings said on Friday that Malaysian offshore oil and gas services provider Yinson was still in talks with the Singapore company’s designated lenders over debt assignment agreements.

At the beginning of April, Ezion said Yinson was in advanced talks to take over US$916 million of debts from the troubled Singapore liftboat charterer’s lenders. Under the plan, the debt will be converted into equity, giving the Malaysia-listed company an 85.9 percent stake in Ezion.

Malaysia-listed Yinson’s indirect wholly owned subsidiary Yinson Eden would then capitalize the debt in exchange for 22.57 billion Ezion shares at S$0.055 each and a proposed grant of 3.36 billion options for S$1.00, Ezion said in early April.

But on Friday, Ezion said Yinson was still in talks with the lenders, and noted that under the agreement, the Malaysian company was entitled to terminate the debt conversion agreement if it didn’t reach satisfactory deals within 14 days of the agreement, or on or before 14 April.

“Shareholders, noteholders and potential investors of the company are to note that there is no certainty or assurance as at the date of this announcement that the debt assignment agreements will be entered into by the relevant eate, and failing which, the subscriber has the right to terminate the conditional debt conversion agreement immediately,” Ezion said.

 

 

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