Triyards Holdings announced that it has received a notification from Ezra Holdings (which owns 60.91% of Triyards) that share charge arrangements have been entered into in respect of Ezra’s shareholding interest in the company:

1) 98.8m shares or 30.455% interest in favour of DBS Bank,

2) 30.455% interest in favour of OCBC.

This is likely due to debts owed by Ezra to the banks.

We are positive on Triyards’s longer term outlook, with a BUY rating and S$0.51 fair value estimate, but also recognise that in the event of any forced sale of shares held by Ezra Holdings, there could be a downward pressure on share prices.

Source: OCBC Research - 12 Jul 2016