Bondholders offered to take a long term investment view on Oceanteam

Oct 19 2018
Oceanteam ASA: Refinancing proposal
Bergen/ Amsterdam, 19 October 2018: The board of directors of Oceanteam ASA ("Oceanteam" or the "Company", and together with its subsidiaries the "Group") announces a new shareholder loan and a proposal for a debt to equity conversion of the remaining bond loan  
As reported in the stock exchange notice of 26 April 2018, the Company has completed a restructuring (the "Restructuring"), through which, amongst other things, USD 62,073,570 of the FRN Oceanteam ASA Senior Callable Bond 2012/2017 (the “Bond Loan”) were converted into equity (the "Conversion"), currently leaving USD 5,086,518 of the Bond Loan outstanding (the "Outstanding Bonds"). Oceanteam is now proposing to convert the Outstanding Bonds and any accrued interest into equity at identical price as in the Restructuring, resulting in repayment of  the Bond Loan in its entirety (the "Second Conversion").
It is becoming apparent that there are bondholders who are interested in taking a long term investment view in the Company by converting their claim into equity. This would strengthen the balance sheet of the Company for the future and will position  the Company more favourably in its ability to secure additional funding to grow as all the Group's legacy debt will have been removed from the balance sheet.
In addition to the Second Conversion and subject to it, Oceanteam has secured a new shareholder’s loan of USD 1,500,000 which will leave the Group adequately funded on the short term. The additional capital of USD 1,500,000 will provide the Group with more flexibility in its daily operations, and allow it to focus on developing its core business and pursue business opportunities as they are presented..
The proposal
Based on the above, the board of directors proposes that the Outstanding Bonds of USD 5,086,518  and accrued interest is converted into equity in the Company by the issuance of new shares, each share having a par value of NOK 0.50, at a subscription price of USD 0.10 per share. Following the implementation of the Second Conversion, the Bond Loan will be repaid in its entirety.  
Way forward  
The Second Conversion is subject to bondholder and shareholder approval. A notice of a written bondholder resolution is expected to be issued in due course, and the shareholders of the Company will be summoned to an extraordinary general meeting to be held in November 2018. A majority of the bondholders have expressed support to the proposal, and discussions with all stakeholders will continue up to the extraordinary general meeting to ensure the necessary support for the Second Conversion.
About Oceanteam ASA
The Company is comprised of two operating segments, Oceanteam Shipping and Oceanteam Solutions. Oceanteam Shipping owns, charters and manages deep-water offshore support vessels and fast support vessels. Oceanteam Solutions' focus is to provide its clients with complete offshore solutions. Oceanteam ASA has been active in the industry as an offshore solutions provider for over twelve years.
For more information:
For further information about Oceanteam ASA please contact:
Hendrik Hazenoot Interim CFO
Tel. +31 20 535 7570