Prosafe has adopted different assumptions from that disclosed in its April 20 annual report for the financial year ended Dec 31, 2019. The assumptions were also significantly different from Floatel’s assumptions used in the calculation of the VIU of its vessels.
SINGAPORE (June 1): Keppel Corporation has requested Floatel International, an associated company of Keppel Offshore & Marine (Keppel O&M) to perform an independent review of its business plan, which would require a review and update of the assumptions in assessing the valuation-in-use (VIU) of their assets.
This comes as Keppel Corp realised that Prosafe, a leading owner and operator of semi-submersible accommodation vessels (flotels), had made an impairment of US$810.5 million (S$1.14 billion) to the book value of its vessels following a re-assessment of the market outlook and its assumptions used in the calculation of the VIU of its vessels.
