Ezra faces $274.5m claim linked to Lewek Champion

It served as a guarantor to the vessel’s Bareboat Charter.

Offshore group Ezra Holdings announced that it is facing a claim for $274.4m (US$194.5m) as the guarantor of a Bareboat Charter in relation to Lewek Champion.

In an announcement, Ezra said Hai Jiang 1401 Pte Ltd has demanded the payment within 15 days from the date of the notice of termination, which was served to Ezra on 9 March 2017.

Ezra is the guarantor to the Bareboat Charter of the Lewek Champion on the amended Barecon 2001 Form dated 19 February 2014 between EOL’s wholly-owned subsidiary Lewek Champion Shipping Pte Ltd and Hai Jiang 1401 Pte Ltd.

"The Company is seeking legal advice in respect of the Notice of Termination, Claim and appointment of Joint Receivers and Managers and assessing the impact of the Notice of Termination, Claim and appointment of Joint Receivers and Managers against the Group," Ezra stated in their announcement.

The group told shareholders to exercise caution when trading in its shares in relation to the said announcement.

“When in doubt as to the action they should take, shareholders and potential investors should consult their financial, tax, or other advisers,” Ezra noted.