Rex International Holding Subsidiary Secures Bondholder Approval for Interest Payment Deferment and Liquidity Waiver

26 January 2026, Singapore – Rex International Holding Limited (“Rex” or “the Company”), a leading oil exploration and production company, has announced a significant update regarding its subsidiary, Lime Petroleum Holding (“LPH”). The development could have notable implications for shareholders and investors in the company.

Key Points from the Announcement

• LPH Obtains Bondholder Consent: LPH, through its Bond Trustee, has successfully secured approval from its bondholders to defer interest payments due in January 2026 on its outstanding bonds.
• Temporary Waiver of Financial Covenants: In addition to the interest payment deferment, LPH has received a temporary waiver and suspension of the Minimum Liquidity covenants for its bonds. This waiver will remain in effect until 31 March 2026.
• All Other Bond Terms Remain Unchanged: Aside from the deferment and the temporary waiver, all other terms and conditions under the bond agreements will remain in full force and effect.
• Bond Trustee Authorised: The Bond Trustee has been empowered to implement the approved resolutions and complete the necessary documentation.

Implications for Shareholders and Potential Share Price Impact

This announcement is potentially price-sensitive and may affect the share value of Rex International Holding Limited. Here’s why:

• Enhanced Financial Flexibility: The approval to defer interest payments and suspend liquidity covenants provides LPH with critical near-term financial flexibility. This may allow the subsidiary to manage its cash flows more effectively during the deferment period, potentially reducing immediate financial stress.
• Signal of Financial Pressure: The need for such measures can also be interpreted as an indication that LPH is facing short-term liquidity or cash flow challenges. While the company has proactively engaged with bondholders and obtained their support, investors should closely monitor future updates regarding LPH’s financial position and ability to meet its obligations after the waiver period ends.
• Support from Bondholders: The constructive and supportive stance of the bondholders, as acknowledged by LPH, suggests confidence in the company’s longer-term prospects or recovery plans. This engagement may help to stabilise market sentiment in the near term.
• No Change to Other Bond Terms: The fact that all other terms remain unchanged may offer reassurance to both bondholders and equity investors that the company is not seeking to fundamentally restructure its debt, but rather to manage timing and liquidity pressures.

What Should Investors Watch For?

• Further updates from Rex and LPH regarding their financial performance and liquidity position leading up to and after 31 March 2026.
• Any additional measures or restructuring actions that may be proposed if cash flow challenges persist beyond the current waiver period.
• Market reaction to this news, as deferment of interest payments and suspension of liquidity covenants can be seen as both a prudent short-term measure and a potential red flag regarding financial health.

The company has expressed appreciation for the support and constructive engagement of its bondholders, which has facilitated this arrangement.

Conclusion

This development is a noteworthy event for Rex International Holding Limited shareholders and may have implications for the company’s share price and investor perception. The deferment of interest payments and temporary suspension of liquidity covenants will provide breathing room for LPH, but investors should remain vigilant and look out for further financial disclosures and developments as the waiver period approaches its end.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own research and consult with financial professionals before making investment decisions. The information provided is based on company disclosures as of 26 January 2026 and may be subject to change.

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