Blom seeks another extension of its 15% bonds, this time to April 26

By Angela McDaniels

Tacoma, Wash., March 22 - Blom ASA is seeking bondholder approval to extend the maturity of its 15% senior secured bonds to April 26, 2013 from April 4, 2013.

The main objective of the extension is to "safeguard values and secure a restructuring of the current amortization plan," according to a notice from bond trustee Norsk Tillitsmann ASA.

Bondholders will vote on the extension at a meeting in Oslo on April 10.

In order to form quorum, at least half of the bonds need to be represented at the meeting. Of those, a two-thirds vote is needed in order to make the extension.

The bondholders voted on Feb. 22 to extend the maturity to April 4, 2013 from Feb. 21, 2013, and on Dec. 21, they voted to waive a negative pledge covenant in the note agreement.

By waiving the covenant, the bondholders allowed Blom Data AS to pledge its machinery and plant as security for up to €3 million from one of its shareholders.

Oslo-based Blom provides geographical information and services.

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