Volstad Maritime, a Norwegian operator of seismic exploration, diving, offshore IRM and construction vessels, has established a fully funded refinancing plan for the company and certain of its subsidiaries that in principle is supported by its secured bank lenders.
The company and its key stakeholders have for some time been working on refinancing of the group’s financial debt, including the redemption of Volstad Subsea bond issue falling due July 5, 2017, with the purpose of improving the group’s financial situation, the company explained in an Oslo Stock Exchange filing on Wednesday.
Volstad added it has now established a fully funded plan for the refinancing together with inter alia the group’s secured bank lenders, and it is expected that a binding agreement for the refinancing will be in place shortly.
On this basis, it is the issuer’s current expectation that the bonds nevertheless will be redeemed in full, within applicable deadlines of the financial documents of the bonds by mid-August 2017.
The company noted that the refinancing and redemption are subject to the agreement of definitive documentation, credit committee and certain other approvals and other customary conditions.