Singapore’s loss-making Ezion Holdings Ltd (EZHL.SI), which operates ships used in the oil and gas industry, said it will raise up to S$50 million ($38 million) by issuing new shares and granting options to a subsidiary of state investor Temasek Holdings [TEM.UL].
The funds, to be injected by Pavilion Capital Fund Holdings, will be used to expand its business and pursue new opportunities, joint ventures or partnerships and for working capital, Ezion said in a statement on Friday.
The company is part of Singapore’s offshore and marine industry that has been roiled by low oil prices, weak charter rates and delays to projects, forcing a number of firms to restructure debt and cut costs.
Ezion, which owns a fleet of liftboats or self-elevating vessels, reported a loss of S$1.02 billion in 2017. It recently won shareholder support for its debt refinancing plan.