Ezion could gain from AusGroup debt restructuring as demand rises

SINGAPORE (June 1): AusGroup’s major shareholder Ezion Holdings has agreed to forgive its debts, which will enable it to focus on capturing returning demand for maintenance and support services from the mining and energy sectors, if approved.

The move comes after attempts to reach agreements with lenders by other ailing companies such as Rickmers Maritime and Swissco Holdings in the past have failed.

AusGroup on Wednesday announced that it had met the minimum conditions from noteholders to convert an existing $110 million, 7.95% bond due 2018 to new shares in the company.

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