KUALA LUMPUR: UMW Oil and Gas Corp Bhd (UMW-OG) is determined to return to the black and is currently restructuring its debts, said president Rohaizad Darus.
He said the demerger exercise between UMW-OG and UMW Holdings Bhd, which was approved by shareholders recently, provided support to the company and for a more structured debt restructuring exercise.
After the demerger, we will have more support in terms of finance with the RM1.8 billion rights issue, of which RM1.3 billion will be used to reduce debt and RM300 million for working capital.
With that, our gearing ratio will go down from 1.81 to 0.56, which is significant, and our total debt will reduce from RM4.1 billion to RM2.3 billion.
Read the full article at: https://www.nst.com.my/business/2017/05/241475/umw-og-restructuring-debts