Bourbo Press Release: The Board of Directors of BOURBON Corporation wishes to further analyze the financial restructuring pro...
19 Juin 2019 - 4:00PM
Bourbo Press Release: The Board of Directors of BOURBON Corporation
wishes to further analyze the financial restructuring proposals
received
Marseilles, June 19, 2019
The Board of Directors of BOURBON
Corporation wishes to further analyze
the financial restructuring proposals
received
Following the submission of financial
restructuring proposals subject to conditions precedent, the Board
of Directors of BOURBON Corporation reviewed today the two
proposals which are considered relevant to the interests of the
group, its employees, its partners and its shareholders.
In particular, the Board relied on the review
done by an ad hoc committee of four Directors (two of whom are
independent) entrusted since July 2018 with assessing the impact
and salient points of each restructuring projects and reporting on
them to the Board of Directors:
- The offer from BOURBON's main lenders and vessel lessors (75%
of the group's debt) proposes €120 million in new money in the form
of debt and a reduction of existing debt of more than €1.4 billion
through a conversion into capital, resulting in 93% of the group's
capital being held by its lenders. This offer is valid until June
27, 2019;
- The offer led by the main shareholder Jacques de Chateauvieux
and his financial partners, proposes a contribution of €80 million
in new money in the form of debt and a €164 million loan, which
would make it possible to pay off lenders who would wish so. The
proposed business model answers the new market expectations while
relying on the historical BOURBON partners network and provides a
reimbursement of the debts based on the free cash flow generated by
each vessel. This project does not involve any dilution of
shareholders at the end of the restructuring.
At this stage, the Board of Directors is not
able to pronounce itself in favor of one of these proposals since
they still include a number of conditions, and in particular the
agreement of all parties. The Board's main goals remain to
guarantee a sustainable level of debt, to receive new money to
support the group's growth, and a stable shareholders structure
that has the trust of BOURBON partners and teams.
Consequently, the Board has tasked the general
management of BOURBON Corporation to pursue negotiations in order
to obtain final and binding conditions for these two offers, and
meanwhile, extend their validity. The final offers will be further
reviewed by the Board as early as possible.
ABOUT BOURBON
Among the market leaders in marine services for
offshore oil & gas, BOURBON offers the most demanding oil &
gas companies a wide range of marine services, both surface and
sub-surface, for offshore oil & gas fields and wind farms.
These extensive services rely on a broad range of the
latest-generation vessels and the expertise of more than 8,200
skilled employees. Through its 31 operating subsidiaries the group
provides local services as close as possible to customers and their
operations throughout the world, of the highest standards of
service and safety.
BOURBON provides three operating activities
(Marine & Logistics, Mobility and Subsea Services) and also
protects the French coastline for the French Navy.
In 2018, BOURBON'S revenue came to €689.5
million and the company operated a fleet of 483
vessels. Placed
by ICB (Industry Classification Benchmark) in the "Oil Services"
sector, BOURBON is listed on the Euronext Paris, Compartment B.
CONTACTS
BOURBON |
Media relations agencyPublicis
Consultants |
Investor Relations, analysts,
shareholders |
Vilizara Lazarova |
+33 140 138 607 |
+33 144 824 634 |
investor-relations@bourbon-online.com |
vilizara.lazarova@consultants.publicis.fr |
|
|
Corporate Communication |
|
Christelle Loisel |
|
+33 491 136 732 |
|
christelle.loisel@bourbon-online.com |
|
- BOURBON-press-release-board-19062019