Bli medlem
Bli medlem

Du är här

2016-11-24

Farstad Shipping ASA: Farstad Shipping ASA - Announces outline for comprehensive financial restructuring with Siem and its secured lenders

As discussed in Farstad Shipping ASA's ("Farstad" or the "Company")
financial report for Q2 2016, the Company is working on an overall
restructuring plan to strengthen the Company's balance sheet and
liquidity position going forward.

Farstad, represented by its independent board members, and Siem
Oilservice Invest Holdings Limited have today signed a binding term
sheet ("Term Sheet") for a restructuring of Farstad along the
following lines (the "Restructuring"):

Farstad will issue a minimum of 702 000 000 ordinary shares (the "New
Shares") for a total subscription of minimum NOK 1 billion at a price
per share of approximately NOK 1.4245 (the "Cash Issue"). Siem will
underwrite NOK 1 billion of the Cash Issue, and subscribe for and be
allocated a minimum number of New Shares so that Siem owns 50,1% of
the shares in Farstad, post restructuring. Tyrholm & Farstad AS, the
largest shareholder of Farstad, is cooperating with Siem for the
purposes of the restructuring, and will be offered a preferential
right to subscribe 105 300 000 New Shares for a subscription of NOK
150 million. The rest of the New Shares will be offered to a mix of
existing shareholders and other stakeholders to be finally agreed.

Siem will carry out a mandatory offer for the existing shares of
Farstad in accordance with chapter 6 of the Norwegian Securities
Trading Act.

A substantial majority of the senior secured lenders are supportive to
the binding term sheet. The senior secured lenders will be requested
to convert parts of the group's secured debt into equity in Farstad,
and provide amortisation deferrals so as to provide the company with
a financial runway throughout 2021.

The bondholders in Farstad's bond loans will be requested to convert
all outstanding amounts, in total NOK 1.4 billion, under the bond
loans into equity in Farstad.

Certain other creditors will also be requested to contribute in the
restructuring.

The head office and centre of operation of Farstad will remain in
Ålesund.

The Term Sheet is inter-alia subject to reaching final agreements with
other key Farstad stakeholders including the senior secured lenders,
the bondholders and certain other creditors. Farstad is continuing
its negotiations with these stakeholders.

Ålesund, 24 November 2016

Siem Oilservice Invest Holdings Limited:

Chairman Kristian Siem tel. +44 774 7777 703

Farstad Shipping ASA:

CEO Karl-Johan Bakken tel. +47 901 05 697

CFO Olav Haugland tel. +47 915 41 809

Farstad Shipping's fleet currently consists of 55 vessels (27 AHTS, 22
PSV and 6 SUBSEA) and 1 SUBSEA vessel under construction. The
company's operations are managed from Aalesund, Melbourne, Perth,
Singapore, Macaé and Rio de Janeiro with a total of 1,725 employees
engaged onshore and offshore. The company's strategy is to be a
leading quality provider of large, modern offshore service vessels to
the oil industry.

www.farstad.com

-----------------------------------------------------------
http://news.cision.com/farstad-shipping-asa/r/farstad-shipping-asa---ann...

Författare WKR

Tala om vad ni tycker

Tala om vad ni tycker

Ni är just nu inne på en betaversion av nya aktiespararna. Lämna gärna feedback på vad ni tycker i formuläret nedan.