Problems stack up for endangered Swissco

Swissco Holdings looks very close to following fellow Singaporean offshore firm Swiber Holdings into judicial management with news today that its restructuring plan has been rejected by its bank lenders.

The plan, first presented on October 24, asked noteholders to accept a debt for equity deal, while seeking bank refinancing , and moving to scrap four of its rigs which lay idle.

Adding to its woes, X-Drill Holding has obtained a court order in the Republic of Equatorial Guinea for the arrest of four of Swissco’s jackup rigs.

Swissco, originally an OSV operator, diversified into rigs in mid-2014 just ahead of global oil prices plunging.

Swissco is weighed down by $147.5m in debts with just $1.2m in cash, unable to make key repayments.

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.
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