Ezion to dispose stake in two companies by 30 November

The decision was made to cut operational costs.

Offshore services firm Ezion is jettisoning its stake in two companies by 30 November to streamline its asset base and reduce operational costs, according to an SGX filing.

The company is selling its 50% share in Strategic Offshore Limited (SOL), a Malta-incorporated dormant company, to ES Assets Management for a nominal cash consideration of $1.36 (US$1).

Ezion is also offloading its 30% stake in Rotating Offshore Solutions (ROS) to shareholders Murugesan Srinivasan and Lim Boon Chye Victor for a 5% effective interest at a cash consideration of $250,000 (US$180,899), respectively. In addition, ROS shall buy back its 20% effective interest for $2.5m (US$1.8m).

Upon completion of the transactions, Ezion will not hold any interests in SOL or ROS. Assuming that both disposals had been effected on 1 January 2018, Ezion’s basic earnings per share and diluted earnings per share will increase from loss per share of $14.88 (US$10.91) to $15.09 (US$11.06).