Polarcus buys two N-Class seismic vessels as part of restructuring
Marine seismic player Polarcus has taken ownership of two N-Class seismic vessels for $75 million as part of the company’s financial restructuring.
On January 25, 2018, Polarcus launched an equity private placement and announced a comprehensive financial restructuring with key stakeholder support.
These stakeholders, being the company’s banks, lease providers and certain bondholders and shareholders, entered into documents with the company to support the restructuring.
The equity issues together with the restructuring and an increased working capital facility were meant to improve the company’s liquidity by approximately $221 million to 2022.
The restructuring was subject to the satisfaction of certain closing conditions, including the final documentation for the new fleet facility to finance the acquisition of Polarcus Nadia and Polarcus Naila (the N-Class Vessels) for an aggregate purchase price of $75 million.
The finalization and execution of this documentation was announced by the company on February 23, 2018.
The company has now drawn down the full amount of the new fleet facility, namely $74,944,877.54, paid the balance of the purchase price in cash and has taken delivery of the N-Class Vessels.
Polarcus has previously reached an agreement with GSH2 Seismic Carrier I AS (GSH) to take ownership of the two vessels, which have been operated by Polarcus under long-term leases since delivery in December 2009 and February 2010. The long-term leases for these vessels, with a commitment of approximately $90 million, have been terminated simultaneously with the delivery of the N-Class Vessels to Polarcus.
The purchase was fully financed by a new loan, maturing in 2024, on terms substantially similar to the fleet bank facility.
The company has also issued 12,846,144 warrants with a strike price of NOK 3.90 to GSH2 Seismic Carrier I AS.
Delivered in 2009, Polarcus Nadia is an ultra-modern 12 streamer 3D/4D seismic vessel. Delivered in 2010, Polarcus Naila is an ultra-modern 14 streamer 3D/4D seismic vessel. Both vessels were built to the Ulstein SX124 design, incorporating the Ulstein X-BOW hull.
Offshore Energy Today Staff