Marine logistics firm Marco Polo said it has substantial doubt about being able to continue. There are growing concerns due to a cash crunch, as it sought noteholders’ approval to defer redeeming bonds worth S$50m by three years.
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 30 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.