Sea Trucks sheds four vessels as part of restructuring efforts

Sea Trucks Group Limited, a provider of offshore vessels and services, has transferred the ownership of four accommodation and construction DP3 vessels to new owners thus reducing its debt by $215m. 

FTI Consulting, the company in charge of liquidating Sea Trucks, said that the Jascon 25, Jascon 28, Jascon 31, and Jascon 34 vessels were transferred to a new owner by bondholder appointed receivers.

Sea Trucks also transferred shares in associated operating companies, in a restructuring approved by the group’s bondholders.

As for the impact of the restructuring on Sea Trucks, it means that the vessels are sold and owned by a new company with an improved balance sheet.

Following the restructuring, the liquidators will focus efforts on pursuing repossession of remaining Sea Trucks owned vessels located in Nigeria, most of which are subject to pre-existing security not affected by the restructuring.

The restructuring also provides the liquidators with funding and the support of all key stakeholders to take the necessary steps to recover Sea Trucks owned vessels and resolve associated disputes, including pursuing recoveries in relation to potential acts of misfeasance committed by former directors and officers of Sea Trucks companies.

FTI added that the vessel sales reduced the debt owed by Sea Trucks group under its secured bonds by $215 million.

To remind, the Eastern Caribbean Supreme Court in the High Court of Justice of the British Virgin Islands placed Sea Trucks under provisional liquidation in May 2017.

The court appointed Chad Griffin of FTI Consulting LLP and Ian Morton of FTI Consulting (BVI) Limited as joint provisional liquidators of the company. The joint liquidators appointment was related only to the Sea Trucks Group, being the group holding company. The company’s subsidiaries were not subject to insolvency proceedings.