Ezra Holdings Limited , an offshore contractor and provider of integrated offshore solutions to the oil and gas (O&G) industry, has sold 60 million shares in SGX-listed Ezion Holdings Limited (Ezion) as part of its capital allocation strategy.
This divestment will strengthen Ezra’s cash position and reduce its stake in Ezion to approximately 5.6%.
Mr Lionel Lee, Ezra’s Managing Director , said: “This is part of an ongoing process to channel our resources to our growth divisions and fund the working capital needs of new projects. However, we continue to remain invested in Ezion for the long- term as we expect the company to provide above market returns.”
Ezra’s subsea services division, EMAS AMC, has been adding on projects rapidly and was recently awarded a US$70 million contract (with potential add-on work scope options of up to US$30 million in contract value) from Apache Energy Limited. EMAS AMC has achieved its US$1 billion orderbook target ahead of time and Ezra expects the Group backlog to exceed US$2 billion in view of the strong trends in the subsea and offshore sectors.
[mappress] Source: Ezra Holdings Limted, March 1, 2012