Oslo-listed Havila Shipping has revised the terms of its restructuring agreement made a new offer to repurchase its securities from bondholders.
In the amended plan, the company will spend up to NOK 275m ($32m) in buying back its bonds in a ‘reverse auction’, at a price of up to 30% of par value per bond.
Havila says it will pay another NOK 4.5m ($522,000) on interest on the bonds for each of the years 2016-2018.
The offshore shipping company has also upsized its planned equity issue from NOK 200m ($23m) to NOK 300m ($24m). The extra money raised will go towards the bond buyback and the interest payment, both of which are to be paid in cash.
The Sævik family, which owns 51% of Havila Shipping through Havila Holding, will maintain its current proportionate shareholding and has guaranteed a subscription of NOK 153m ($17.8m) in the equity issue, the company said.
The new equity will be raised through a private placement, targeted at existing shareholders and new investors. Bondholders subscribing in the equity issue will be given priority over new investors where possible, Havila said.
In January, Havila Shipping entered into a master agreement with its secured and unsecured bank lenders to reduce loan amortisation for three years, postpone maturities and replace all existing covenants, subject to bondholder approval.
Bondholders will submit their pre-acceptances of the amended master agreement by February 15, ahead of a bondholder meeting on February 26. If approved, it is hoped the new equity will be secured by March 15.
Havila is also in ongoing negotiations to amend the bareboat charter hire of its rapid-response vessel Havila Troll, which should be concluded by February 15. The vessel has been on charter to Statoil in Norway since 2010, which was recently extended for another 12 months until November 2016.
, which should be concluded by February 15. The vessel has been on charter to Statoil in Norway since 2010, which was recently extended for another 12 months until November 2016.
