Bondholders have agreed to convert their remaining bonds into equity
The Board of Oceanteam ASA (the “Company”) is pleased to announce that the bondholders to the Oceanteam ASA Senior Callable Bond Issue 2012/2017 have agreed to convert their outstanding bonds with a total value of USD 5,175,523 into equity. By their willingness to convert their bonds into shares, the bondholders are aligned with shareholders in taking a positive long term view on the future of the Company. There will be no more bonds outstanding after conversion.
Along with management, the Board views this conversion confirmation as a vote of confidence in its efforts to date, to restructure the Company and pathing a way forward to take advantage of future growth opportunities. The improved balance sheet with less debt greatly contributes to this. As a sign of faith and encouragement, Corinvest, as one of the larger shareholders, will provide an additional unsecured shareholder loan of USD 1,500,000 for short term working capital needs.
After the conversion, the debt level of the Company has further improved with the remaining outstanding debt on the two large Construction Support Vessels now below the book value and the fair market value of those vessels. Both vessels are contracted, one by Total, working offshore deepwater Angola and the other by McDermott, starting to work offshore East India later this year. Management also sees the activity of Oceanteam Solutions improving now clients see the Company making good progress on the restructuring.