Ezra Holdings gears up for restructuring, sees 27% rise in revenue

Associate EMAS Offshore gets listed on the SGX.

A report by OCBC indicates that offshore support provider Ezra Holdings is showing positive growth as revenue and profit both increase. Management has also expressed interest in listing its subsea business at a later date, meaning Ezra would pretty much become a holding company with various listed entities.

Ezra experienced a 27% rise in revenue to US$402.1 million and 16% increase in net profit to US$8.3 million in 3Q14, resulting in a net profit of US$34.2 million for 9M14, accounting for 77% of OCBC’s full-year estimate.

The company has proposed a corporate restructuring which involves the injection of its offshore support business into its associate, EMAS, which will seek a secondary listing on the SGX. EMAS will pay US$520m to Ezra, consisting of US$150 million in cash and US$370 million by allotment of new shares.