Marco Polo Marine proposes debt restructuring

Singapore offshore vessel operator Marco Polo Marine has proposed a refinancing and debt restructuring exercise of all its current secured and unsecured debts to strengthen its cash flow and working capital position.

The company said the move is to ensure its business sustainability under current distressed market condition for the foreseeable future.

In the meantime, the company plans to delay interest payment on notes that are due to be paid on April 18.

“In view of the company’s current cashflow position and proposed refinancing and debt restructuring exercise, the company does not expect to make payment of the April 2017 interest payment on April 18 as the monies earmarked for this have been redeployed to working capital for business sustainability,” Marco Polo Marine said in a release.

According to the company, it is in discussions with its bank lender and other key creditors on restructuring the payments under the proposed debt restrucuturing plan that is within an acceptable level of gearing for the offshore marine industry, while at the same time exploring avenues for fresh funding. It will also engage noteholders on various options in connection to the notes.

In October 2016, Marco Polo Marine’s noteholders voted to approve a restructuring S$50m ($36m) of the company’s debt.

Jason Jiang

Jason is one of the most prolific writers on the diverse China shipping & logistics industry and his access to the major maritime players with business in China has proved an invaluable source of exclusives. Having been working at Asia Shipping Media since inception, Jason is the chief correspondent of Splash and associate editor of Maritime CEO magazine. Previously he had written for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week.
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