Singapore-listed offshore services player Ezra Holdings has filed for Chapter 11 bankruptcy protection in the United States together with its two entities EMAS IT Solutions and Ezra Marine Services.
The decision to file for Chapter 11 comes just weeks after Ezra’s subsea joint venture, EMAS Chiyoda-Subsea, also filed for bankruptcy protection in the United States and placed its Norway based wholly owned subsidiary, EMAS-AMC AS under members’ voluntary liquidation.
With this move, Ezra said it intends to optimize the scope and extent of the restructuring options available and to protect the interests of all stakeholders of the company (including its creditors and shareholders) from hostile actions that could harm the company and its stakeholders by diminishing the Group’s value.
According to the company’s chief restructuring officer, Robin Chiu, “Oversupply of offshore supply vessels along with the influx of newly built vessels resulting in low competitive charter rates compounded the financial difficulties of Ezra’s business divisions.”