Songa plans exchange offer for 3.25% unsecured convertible bonds

By Devika Patel

Knoxville, Tenn., June 11 - Songa Offshore ASA announced that it has made a successful exchange offer to the holders of its 3.25% senior unsecured convertible bonds 2007/2010.

Upon completion, the exchange offer will lead to a $62.5 million overall debt reduction.

The company will convert the bonds into a number of new shares equal to $50 million.

In addition, the remaining $62.5 million of bonds will be amended so that their term is extended by two years until June 2012.

Before it can complete the exchange offer, the company must pass a bondholder resolution with two-thirds majority and obtain pre-acceptance from bondholders holding more than two-thirds of the bonds.

Songa is an offshore drilling company based in Oslo.

© 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.