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    Harkand completes bond issue

    Company News // March 20, 2014

    Harkand has successfully placed a new US$230 million senior secured bond issue in the Norwegian bond market.

    The bonds will have a tenor of five years, maturing in March 2019. The net proceeds will be used to refinance existing debt on the Harkand Atlantis and Harkand Da Vinci, fund the pre-delivery installments of the newbuild dive support vessel (DSV) scheduled for delivery in the second quarter of 2016 delivery, and to further expand the company.

    The settlement date for the bond issue is expected to be 28 March 2018 and an application will be made for the bonds to be listed on the Oslo Stock Exchange. Norsk Tillitsmann ASA will act as the bond trustee and the loan agreement will be governed by Norwegian law.

    John Reed, chief executive officer of Harkand group, said: “We are very pleased with the transaction. This is the first time the Harkand group has raised funding in the public capital markets and we have enjoyed strong demand from investors around the world.

    “The bond issue reflects confidence in the fundamentals of our business model and the key strategic DSV assets Harkand Atlantis and Harkand Da Vinci. Furthermore the additional liquidity will allow us to make future investments for our continued growth.”

    Nordea Markets, Pareto and Swedbank acted as Joint Lead Managers for the bond issue.


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