GulfMark Offshore fails to make $13.7m bond payment

GulfMark Offshore fails to make $13.7m bond payment

US OSV owner GulfMark Offshore is at risk of defaulting on a $13.7m interest payment due yesterday for its 6.375% senior notes due 2022.

The company said it failed to make payment on the notes yesterday, and has entered into a 30-day grace period whereby if it doesn’t make payment within the 30 day period it would constitute a default.

Any default would also result in a cross-default of a GulfMark America’s revolving multicurrency credit facility and Gulark Rederi’s senior secured revolving credit facility, both of which are guaranteed by GulfMark Offshore.

Royal Bank of Scotland, as agents for the GulfMark America facility, agreed last week to extend the revolving multicurrency facility by a further $10 million.

The announcement sent Gulfmark Offshore shares plunging over 41%, with today’s closing price of $0.40 representing a decline of over 77% since the end of 2016.

Grant Rowles

Grant spent nine years at Informa Group based in London, Sydney, Hong Kong and Singapore. He gained strong management experience in publishing, conferences and awards schemes in the shipping and legal areas, working on a number of titles including Lloyd's List. In 2009 Grant joined Seatrade responsible for the commercial development of Seatrade’s Asia products. In 2012, with Sam Chambers, he co-founded Asia Shipping Media.

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