Rickmers Trust Management, the Singapore-listed trustee-manager of Rickmers Maritime, has announced that it has been served with a “notice of acceleration” today by law firm Rajah & Tann, claiming to be acting for more than 25% of holders of its S$100m 8.45% notes due in May 2017.
Rickmers says that if the letter from Rajah & Tann can be verified to represent at least 25% of note holders, and if any event of default specified in “Condition 9” of the terms and conditions has occurred, then the notes could become immediately due and repayable.
Earlier in the month Rickmers said it was close to liquidation, admitting it is unable to repay the interest and principal on the S$100m notes.
The notice could be the final straw for the trust, which owns a fleet of 16 panamax boxships. Its first proposed debt restructuring plan was rejected by investors and a revised proposal looks dead in the water should this latest note holder action be successful.
“The letter received by the Trustee-Manager does not provide any details as to which of the events of default is being relied upon, nor any evidence that the requisite threshold of 25 per cent has been met. In addition, the Trustee-Manager has not received any notice from the Notes Trustee that the Notes are immediately due and payable,” Rickmers said in a statement this evening.