Titan Petrochemicals converts debt to new shares

Titan Petrochemicals converts debt to new shares

Titan Petrochemicals has reached agreements with its lenders to offset unpaid debts with new shares.

Titan Petrochemicals will issue 544m new shares to Jermaine and 449m new shares to WS Energy to offset debt of HK$99.22m ($12.7m) in total. The new shares will account for about 3% equity of the company.

The company said the loan capitalization move will lower the gearing ratio of the group and reduce its finance cost.

According to Titan Petrochemicals, the company has raised a total of HK$528.5m($67.7m) in the past 12 months, with funds mainly used for debt restructuring and the upgrade of its Quanzhou shipyard.

Jason Jiang

Jason worked for a number of logistics firms following his English degree, then switched this hands-on experience to writing and has since become one the most prolific writers on the diverse China logistics industry writing for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week. Jason’s access to the biggest shippers with business in China has proved an invaluable source of exclusives.

Related Posts