Oceanteam signs agreement with bondholdersEquipment & Technology // May 4, 2017
Oceanteam says it recently held a bondholders meeting at which amended and restated bond agreements between the bondholders and the company were agreed and executed.
The agreement includes the repayment of the bond in full, the extension of the loan maturity, use of proceeds of the sale of share in North Ocean 105 and a major adjustment of interest costs concerned without offering any equity.
In order for the areement to become effective among others, the following conditions precedent need to be fulfilled: liens in favour of bondholders on all operating assets; approval of amendment to the articles of association of Oceanteam and appointment of directors by an extraordinary general meeting of shareholders of Oceanteam, to be held 9 May 2017 with the support of the Halbesma family; the appointment of a management consultant to review company's cost structure.
As announced earlier this year, Oceanteam and its bondholders have also agreed that the proceeds from the sale of Oceanteam's 25 per cent share in the company North Ocean 105 AS, owner of the vessel North Ocean 105, will be blocked for repayment of Oceanteam's vendors and secured lenders immediately upon such funds becoming available and the agreement becoming effective.
Oceanteam ASA joint venture partner McDermott announced in its first quarter report that it is required to exercise its option to purchase Oceanteam ASA's 25 per cent ownership interest in North Ocean 105 in the second quarter of 2017.