Hyflux applies to extend debt moratorium for two more months

Applications are expected to be heard on 30 September.

Embattled water firm Hyflux and three of its subsidiaries have filed another application to court seeking a two-month extension of its debt moratorium, according to an SGX filing.

Applications are expected to be heard on Court on 30 September. The move comes over a month after its last debt moratorium extension in 1 August. 

Also read: Hyflux gets another debt moratorium extension to 2 August

The company’s potential white knight, UAE-based utilities firm Utico earlier announced that the two parties have inked a restructuring agreement that will allow it to hold an 88% stake in Hyflux. However, the water treatment firm clarified that they have not signed a definitive deal agreement. 

Hyflux is seeking consent to restructure around $2.8b in liabilities although it has admitted in its disclosure that senior lenders recovery is likely to be limited and subordinated lenders may not even recover a cent. Its Tuaspring desalination plant was earlier seized by the national water agency.