Sanjel again postpones meeting seeking standstill for 7½% notes

New York, March 29 – Sanjel Corp. again postponed the meeting at which it plans to ask bondholders for standstill agreements under its 7½% callable bond issue 2014/2019.

The new date is 7 a.m. ET on April 14, pushed back from March 31, according to a notice by trustee Nordic Trustee ASA. It was previously postponed from March 10.

As announced Feb. 25, holders are being asked to decide whether to approve requested standstill agreements or exercise default-related rights.

The trustee previously said Sanjel failed to make the $11.25 million interest payment due Dec. 21 on the bonds and breached financial covenants under its senior secured revolving credit agreement and the bond agreement.

As a result, the company asked bondholders not to exercise its default-related rights under a standstill arrangement that would terminate on June 15. Sanjel is also requesting approval of a standstill related to the revolver default from its secured lenders. That arrangement would terminate on April 30.

The lender standstill is subject to bondholder approval of the arrangements.

Sanjel is a Calgary, Alta.-based global energy service company.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.