Klaveness to redeem floaters due 2018, seeks to call floaters due 2020

By Susanna Moon

Chicago, Nov. 22 – Klaveness Ship Holding AS plans to redeem its floating-rate notes issue 2013/2018 and floating-rate notes issue 2014/2020 using proceeds of a new notes issue.

Klaveness is looking to redeem the KSH02 PRO bonds due 2020 at a price of 101.54% of par plus accrued interest by adding an early mandatory redemption in the bond agreement, according to a company announcement.

The company said it has received support from two-thirds of those bondholders.

The issuer also will exercise the call option for the KSH01 PRO bonds due 2018 at 103% of par plus accrued interest.

Klaveness has issued NOK 300 million senior bonds due May 2021 with a coupon of Nibor plus 525 basis points and a borrowing limit of NOK 500 million, according to a company announcement.

Proceeds will be used to refinance the two note issues as well as for general corporate purposes.

For the solicitation, a bondholder meeting has been set for Dec. 6 in Oslo, according to a separate company announcement.

To pass, the amendments must be approved by holders of at least two-thirds of those bonds represented at the meeting. To form a quorum, at least half of the voting bonds must be represented.

Danske Bank Markets, DNB Markets and Pareto Securities AS are the financial advisers.

Klaveness Ship Holding, through its subsidiaries, owns, operates and charters ships in Oslo.

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