Singapore's Swiber Holdings to Wind Up Company, 3 Senior Executives Resign

Swiber Holdings Ltd., a Singapore-based offshore construction and support services provider to the upstream oil and gas sector, said Thursday in a filing with Singapore Exchange Ltd. (SGX) that it has made an application July 27 to wind up the company.

The step taken by Swiber, one of the larger player in the local offshore sector, is likely to have been caused by the prolonged market downturn arising from low oil prices, industry sources told Rigzone.

"The company's winding up application has been fixed for hearing on Aug. 19," Swiber said in the press release.

Swiber also filed an application to place the firm in provision liquidation. The High Court of Singapore appointed Cameron Lindsay Duncan and Muk Siew Peng of KordaMentha Pte Ltd. as the "joint and several Provisional Liquators of the company."

In a separate filing to SGX Thursday, Swiber reported that the firm and Swiber Offshore Construction Pte Ltd. received Tuesday a statutory demand for $248,500, for which the former has acted as a guarantor of a settlement agreement dated Nov. 4, 2015. Swiber revealed that it has received further letters of demand (including statutory demands).

"The total sum being claimed as of July 26 is approximately $ 25.9 million (including the statutory demand of $248,500 mentioned above) ... The Company is currently seeking legal advice on the statutory demand," Swiber added.

The company made separate filings to SGX to announce the resignations of three senior executives. Francis Wong, who was Swiber CEO until June 20, stepped down as executive chairman and vice chairman. Leonard Tay resigned as executive director and chief financial officer, while Nitish Gupta vacated his executive director post.

Swiber operates a fleet of 51 vessels, comprising 38 offshore vessels and 13 construction vessels.