As previously reported in DOF ASA's ("DOF" or the "Company") financial report
for Q2 2019, the group experience that regular refinancing has been challenging.
DOF and its 65% subsidiary DOF Subsea AS ("DOF Subsea") are on this basis in the
process of finding a long-term refinancing solution, with a structure that is
aligned with the current market environment. A long-term solution will involve
all stakeholders, including shareholders, banks, and bondholders.
The DOF Group has an order backlog of NOK 20 billion per 30.06 2019.
DOF Subsea is currently making progress in its discussion with its stakeholders,
including a constructive dialogue with key banks to adapt the bank facilities to
the current market environment.
DOF Subsea has today summoned a bondholder meeting in order to postpone an
instalment in DOFSUB07 due 22 October 2019, as further described in the summons.
Based on the current dialogue with stakeholders the best estimate is that it
will be possible to reach an agreement on the long-term solution during the 4th
quarter 2019, but no assurance can be given at this stage.
DOF has for the PSV and AHTS business a constructive dialogue with its key banks
to adjust the amortization profile and covenant structure of its bank financing
to reflect the current market environment.
It is likely that a long-term solution will require an equity injection in DOF
and that a substantial portion of the new equity will be used to support the
refinancing of DOF Subsea. Laco AS, indirectly the largest shareholder in DOF,
is in this respect committed to support the group with NOK 200 million in new
equity, conditional upon a satisfactory refinancing solution for the Group,
including a maturity profile providing satisfactory runway until the expected
timing of the market recovery. The Board of Directors of DOF will work towards a
solution for the equity injection, which takes the interests of all shareholders
into account and which to the extent permitted within applicable statutory
limitations treat all shareholders equally.
CEO Mons Aase, Tel. +47 91 66 10 12
CFO Hilde Drønen, Tel + 47 91 66 10 09
With a multi-national workforce of about 3,500 personnel, DOF ASA is an
international group of companies which owns and operates a fleet of modern
offshore/subsea vessels, and engineering capacity to service both the offshore
and subsea market. With over 35 years in the offshore business, the group has a
strong position in terms of experience, innovation, product range, technology
DOF's core businesses are vessel ownership, vessel management, project
management, engineering, vessel operations, survey, remote intervention and
diving operations primarily for the oil and gas sector. From PSV charter to
Subsea engineering, DOF offers a full spectrum of top quality offshore services
to facilitate an ever-growing and demanding industry.
The company's main operation centers and business units are located in Norway,
the UK, the USA, Singapore, Brazil, Argentina, Canada, Angola, and Australia.
DOF ASA is listed on the Oslo Exchange since 1997.
This information is subject of the disclosure requirements pursuant to section 5
-12 of the Norwegian Securities Trading Act.