Oceanteam board decides to initiate precautionary restructuring action

By Caroline Salls

Pittsburgh, March 20 – Oceanteam ASA’s board of directors has decided to initiate a precautionary capital structure restructuring action in light of “lingering discussions” with the company’s banks to resolve a short-term and more structural divided flow from cash accumulated within its vessel-owning subsidiaries, according to a news release.

Oceanteam said close to $10 million is currently accumulated in joint venture companies in which it owns a 50% share. The company said a significant part was expected to be free liquidity, but it is being blocked by the banks.

According to the release, the board and the company’s advisers are preparing to call for a bondholders meeting and an associated extraordinary general meeting including a proposal for an extensive debt-for-equity swap.

Other proposals to be presented to shareholders include the appointment of a new auditor, eventual changes to the board of directors, a cross-border merger and the issue of new equity, the release said.

Oceanteam said it also filed two appeals in a minority shareholder investigation, and it is awaiting the court’s verdicts.

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.

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