Singapore’s Swiber gets votes to amend notes, trust certs at meetings

By Susanna Moon

Chicago, Feb. 19 – Swiber Holdings Ltd. said holders passed the measures presented at meetings held Friday for five series of its notes.

The company obtained votes from holders of the following note series, according to a company notice:

• S$75 million 7% notes due 2016, series 012;

• S$160 million 7 1/8% notes due 2017, series 014;

• S$100 million 5.55% notes due 2016, series 015;

• S$130 million 5 1/8% notes due 2016, series 016; and

• RMB 450 million 7¾% notes due 2017, series 017.

As announced Jan. 27, the company was seeking consents to amend the notes to include a cure mechanism for the period up to the test period ending Dec. 31, 2016 to the interest coverage ratio currently provided for as one of the financial covenants.

As part of the cure mechanism, the company proposed establishing an interest service reserve account for each series of notes for the deposit of the specified amount of coupon payment(s) into the relevant interest service reserve account in the event the interest coverage ratio falls below 2 times for any test period.

The company also sought a waiver of provisions of the notes trust deed and the conditions of the notes as a result of any non-compliance with the interest coverage ratio for the test period ended Dec. 31 and a waiver of the occurrence of any event of default, potential event of default, dissolution event or potential dissolution event as a result of any non-compliance with the interest coverage ratio for the test period ended Dec. 31.

Swiber also obtained the needed votes for its S$150 million 6½% trust certificates due 2018, series 001, and S$50 million 6¼% trust certificates due 2017, series 002.

The company was seeking similar changes for the trust certificates issued by Swiber Capital Pte. Ltd. under its Islamic trust certificates issuance program.

The company previously expressed confidence about its ability to service payments on the notes and the related trust certificates but said it has taken steps to review its financial covenants as part of its overall capital management.

As of Jan. 28, the results for the test period ended Dec. 31 were not yet available.

Noteholders who delivered voting instructions in favor of the proposal by 5 p.m. Singapore time on Feb. 12 will receive the early consent fee of 0.5%. Those who delivered voting instructions for the proposal after that time will receive a consent fee of 0.25%.

For each series of notes, the proposal needed to be passed by a majority of at least 75% of the votes. The quorum needed for a meeting was two or more people holding or representing a majority of that series of notes.

The solicitation agent is DBS Bank Ltd. (65 6222 4261). The paying agent is Deutsche Bank AG, Singapore Branch (65 6423 5982/4091/5970/8232).

Swiber is a Singapore-based offshore oil and gas company.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.