Hermitage Offshore Services gets nod to use lenders’ cash collateral

By Caroline Salls

Pittsburgh, Aug. 31 – Hermitage Offshore Services Ltd. received court approval to use the cash collateral of pre-bankruptcy lenders Skandinaviska Enskilda Banken AB and DNB Bank ASA, according to a final order filed Monday with the U.S. Bankruptcy Court for the Southern District of New York.

“The debtors’ ability to access cash collateral is essential for the debtors to continue their operations and preserve value while simultaneously pursuing a comprehensive reorganization that maximizes the value of their estates for the benefit of all stakeholders,” the motion said.

Without access to the cash collateral, Hermitage said it would be unable to provide uninterrupted services to clients, pay critical expenses, including employee payroll or fund the expenses of its Chapter 11 cases.

Hermitage Offshore is a Hamilton, Bermuda-based offshore support vessel company that owns 23 vessels operating primarily in the North Sea or the West Coast of Africa. The company filed bankruptcy on Aug. 11 under Chapter 11 case number 20-11850.

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