Siem Offshore records progression in reorganizing conversations


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Kristiansand, Norway, headquarteredSiem Offshore Inc claims it has actually made “good progress” in its restructuring conversations with its protected loan providers in Europe as well as leading shareholders, however warns that the strategy is likewise depending on assistance from its Brazilian financial institutions.

The restructuring strategy entails conversion of financial obligation to equity as well as a decrease of future scheduled rate of interest as well as amortization settlements. The restructuring will certainly cause a considerable dilution of the existing equity.

Siem Offshore claims that the contemplated restructuring strategy will dramatically enhance its annual report as well as develop a more powerful economic system to remain to sustain its customers, maintain stockpile as well as to fulfill the obstacles in a prolonged slump in the overseas supply market.

The firm is targeting authorization of the restructuring prepare for January 2021.

BRAZILIAN FINANCIAL INSTITUTIONS

Siem Offshore claims that the strategy depends on engagement by its Brazilian financial institutions, BNDES as well as Banco doBrasil Several different remedies have actually existed to the Brazilian financial institutions. These remedies would certainly make sure ongoing efficiency of the existing agreements in Brazil as well as sustain the credit scores given by BNDES as well as Banco do Brasil.

“There is no guarantee of a constructive response from the Brazilian banks,” claims the firm. “Their assistance nonetheless, remains in their rate of interest as well as would certainly maintain worth for BNDES as well as Banco doBrazil A logical actions for that reason recommends that a payment to the Plan by the Brazilian financial institutions would certainly loom. The choice will certainly be worth damaging for the Brazilian financial institutions.

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