| Add to balance / Manage account | User: | Log out |
| Prospect News home > News index > List of issuers O > Headlines for Oceanteam ASA > News item |
Oceanteam adds restructuring aid, still in default on notes due 2017
By Susanna Moon
Chicago, Nov. 7 – Oceanteam ASA has hired Advokatfirmaet Schjodt AS as Norwegian legal counsel for advice on its restructuring as it remains in default under its senior floating-rate bond issue 2012/2017.
The company notified holders on Oct. 24 that it would defer interest due Oct. 24 on its senior bonds.
The interest remains unpaid, and the company has been notified that a default has occurred and is continuing, according to a notice by Nordic Trustee ASA.
As previously announced, Oceanteam has begun talks on Oct. 24 with its banks and largest bondholders as part of the financial restructuring announced Oct. 20.
“The deferral of the company's interest payments is the immediate result of our short-term cash position that has been depleted by reduced rates and costs related to the recent extensions of vessel contracts of CSV Bourbon Oceanteam 101 and CSV Southern Ocean and SPS for CSV Bourbon Oceanteam 101,” Wilhelm Bohn, chief financial officer of Oceanteam, said in the previous release.
“Due to these events we are enduring unexpected delays in the first payments on charter hires on the above mentioned contracts and are not in a position to meet the interest payment obligations that are due on Oct. 24 according to [the] bond agreement.”
The company previously said it was looking at all of its options “given the current market conditions” and invited bondholders to contact the company.
Oceanteam consists of two operating segments, Oceanteam Shipping and Oceanteam Solutions. Oceanteam Shipping owns, charters and manages deep-water offshore support vessels and fast support vessels. Oceanteam Solutions provides offshore solutions. The company is based in Bergen, Norway.
© 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.