Farstad reaches standstill agreementCompany News // January 5, 2017
Farstad Shipping has announced that in support of the company's continuing restructuring efforts, secured lenders affected by the group's decision to stop servicing its debts have agreed to a formal standstill, involving a deferral of all amortisations and interest throughout January 2017.
The company remains in talks with entities led by Kristian Siem, who owns Siem Offshore. Sources anticipate that in due course, if an agreement can be finalised, Farstad will be absorbed into Siem Offshore. The financial restructuring of Farstad is being led by investor Siem Industries.
If combined, the two Norwegian shipowners will have a total fleet of 105 units (including four ships currently under construction), 14 of which are subsea vessels.