Offshore Shipping Online

A publication for the offshore shipping industry published by Clarkson Research

  • Offshore Intelligence Monthly
  • Menu

    Sea Trucks Group misses year end interest payment

    Company News // January 10, 2017

    Sea Trucks Group Limited, which is currently engaged in what it describes as "ongoing and constructive discussions" with an ad hoc committee of bondholders representing a majority of the outstanding bonds under the US$575 million Senior Secured Bond Issue 2013/2018 with ISIN NO 001 0673734, says that, in light of industry conditions and following consultation with the bondholder committee, the company determined that it would not make an interest payment which was due on 27 December 2016.

    As part of their discussions, the company and the bondholder committee reached an agreement in principle on the terms of a standstill on action by bondholders against the company. The standstill would apply to any default arising under the terms of the bond agreement, including any nonpayment of interest or scheduled amortisation payments.

    On the basis of the in principle agreement with the bondholder committee, the company will shortly issue a summons for a bondholder meeting at which it will seek the formal approval for a standstill, and also for certain other technical amendments to the terms of the bond agreement.

    The standstill will become effective if it is approved by holders of a majority of the bonds voting at that meeting.

    The company said it understands that the members of the bondholder committee intend to vote in favour of the standstill proposal at that meeting.

    More articles from this category

    More news