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Oceanteam and bondholders sign new bondholders agreement as part of Company’s refinancing process


Oceanteam and bondholders sign new bondholders agreement as part of Company’s refinancing process
Today, a bondholders’ meeting took place where the amended and restated bond agreement (the “Bond Agreement”) between the bondholders and Oceanteam was agreed and executed.
The Bond 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 Bond Agreement to become effective among others, the following conditions precedent need to be fulfilled:
 
a: Liens in favor of bondholders on all operating assets;
b: 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 9th May 2017 with the support of the Halbesma family (shareholder undertaking);
c: Appointment of a Management Consultant to review Company's cost structure.
 
North Ocean 105 sale proceeds:
 
As announced earlier this year, Oceanteam and its bondholders have also agreed that the proceeds from the sale of Oceanteam’s 25 percent 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 Bond Agreement becoming effective.
 
Oceanteam ASA joint venture partner McDermott announced in its Q1 report issued 26th April 2017 under form 10-Q, chapter “North Ocean Financing” that it is required to exercise its option to purchase Oceanteam ASA 25 percent ownership interest in North Ocean 105 AS in Q2 2017.

Also read:
 
“Oceanteam ASA reaches agreement with majority of bond holders on refinancing of bond loan agreement”
 
“McDermott to exercise its option to purchase PLV North Ocean 105”