InterOil reschedules bondholder vote to May 15 on postponement of floaters payment

By Angela McDaniels

Tacoma, Wash., May 6 - InterOil Exploration & Production ASA said the bondholders meeting scheduled for May 7 has been delayed to May 15.

As previously reported, the company is seeking bondholder approval to postpone the upcoming $10 million installment payment on its $115 million floating-rate senior secured callable and putable bonds due 2012 to June 2 from May 2.

The meeting at which bondholders will vote on the proposed postponement had to be delayed due to technical issues with the voting rights, according to a company news release.

If the postponement is approved, the price for the installment payment will be increased to 102.5% of par from par.

InterOil plans to use the proceeds from the farm-out of one of its West African assets to fund the $10 million payment. The company said on April 28 that it must postpone the payment because discussions about the transaction were taking longer than expected.

In order for the proposal to pass, at least half of the principal amount of bonds must be represented at the meeting and it must be approved by two-thirds of the notes' principal amount represented at the meeting.

Pareto Securities AS (+47 22 87 87 70) is acting as financial adviser in connection with the proposal.

InterOil Exploration & Production is an Oslo-based exploration and production company.

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