Noreco bond refinancing approved
Stavanger, 20 March 2009: Norwegian Energy Company ASA (Noreco - OSE:NOR), Noreco has received approval the bondholders for a refinancing of the existing NOK 2,240 million bond (OSE:NOR01 & NOR02). The refinancing entails a new amortization profile and extension of parts of the loan, which enhances Noreco's financial position.
- Noreco is very pleased to get the bondholders' approval of the refinancing which provides Noreco with the financial stability for further developing the company into a leading independent North Sea focused oil and gas player, says CEO Scott Kerr.
Extended maturity
The vote in the bondholders meeting held today means that the loan agreement will be changed to reflect an amortization profile whereby NOK 1,000 million is repaid within the current maturity date of July 2010 through two NOK 500 million instalments (in December 2009 and July 2010). These payments will be redeemed at 103 percent of par value. 50 percent of the remaining loan outstanding in July 2010 will subsequently be repaid in July 2011 and the remaining loan in April 2012, both redeemed at 107 percent of par value.
Pareto Securities AS has been the financial advisor in connection with the transaction.
Scott Kerr, CEO (+47 992 83 890)
Einar Gjelsvik, VP Investor Relations (+47 992 83 856)