AusGroup to buy units of Ezion Holdings for $55 million

Ezion Holdings got its start introducing liftboats to the Asia-Pacific region, vessels which are capable of self-elevation and have a large open deck area for transporting equipment. AusGroup has agreed to buy Ezion Offshore Logistics and 90 per cent
Ezion Holdings got its start introducing liftboats to the Asia-Pacific region, vessels which are capable of self-elevation and have a large open deck area for transporting equipment. AusGroup has agreed to buy Ezion Offshore Logistics and 90 per cent of Teras Australia from Ezion Holdings for about $55 million. -- PHOTO: EZION HOLDINGS

SINGAPORE - AusGroup has agreed to buy Ezion Offshore Logistics and 90 per cent of Teras Australia from Ezion Holdings for about $55 million.

The acquisitions will give Singapore-listed AusGroup new marine services expertise and help it achieve its goal of becoming a more fully integrated provider of services to oil and gas firms, the company said in a filing to the Singapore Exchange.

Ezion Offshore Logistics, a wholly-owned unit of Singapore-listed Ezion Holdings, is setting up a port and marine supply base providing administrative, storage and logistics support to vessels.

Teras, an Australia-incorporated company which Ezion Holdings owns 90 per cent, provides ship chartering services and maritime training to indigenous workers in Australia.

AusGroup will pay $14 million in cash for the acquisitions and the rest in new shares, which will be issued to Ezion Holdings at 44.49 cents per share.

Ezion Holdings will own about 17.83 per cent of AusGroup's enlarged share capital upafter the transactions are completed.