Kristian Siem has called off the takeover of Farstad Shipping, plunging the future of the Norwegian OSV operator into doubt again. Farstad had been negotiating with Siem vehicle Siem Oil Service Invest (SOSI) for the past couple of months but, according to a Farstad release no solution has been found for the restructuring which is acceptable to all affected creditors. The term sheet between Farstad and SOSI has terminated, and Farstad said today it will pursue other alternatives for its financial restructuring.
Farstad and a majority of its subsidiaries also said today that in a bid to preserve liquidity it will uphold the current suspension of service of financial debt. The companies’ stand-still agreement with their secured lenders ending on 31 January 2017 will also remain in force.
Kristian Siem has been one of Norway’s leading champion consolidators in the offshore scene in the past 18 months.
