SINGAPORE, Sept 22 Marine logistics firm Marco
Polo said it has substantial doubt about being able to
continue as a going concern due to a cash crunch, as it sought
noteholders' approval to defer redeeming bonds worth S$50
million ($37 million) by three years.
"There cannot be any assurance that the issuer or the group
will be able to continue as a going concern," the Singapore
company said in a securities filing to the stock exchange.
Marco Polo said it expects to be highly leveraged for the
next several years and may not be able to generate sufficient
cash flows to meet its debt service obligations, adding it
expects to record net losses for the fiscal year ending Sept.
Marco Polo, which counts oil and gas firms as clients, is
one of several companies in Singapore's offshore and marine
sector whose finances have been severely strained by the slump
in oil prices.
In July, oilfield services firm Swiber Holdings
applied to place itself under judicial management, after
initially filing for liquidation.
Marco Polo is seeking to delay the maturity of its S$50
million 5.75 percent fixed rate notes to Oct. 18, 2019. It also
plans to pay additional interest of 1.5 percent on the notes.
($1 = 1.3528 Singapore dollars)
(Reporting By Aradhana Aravindan; Editing by Muralikumar