Asking Bondholders to defer interest payments
Reference is made to the press-release of 4 May 2009.
Nexus Floating Production Ltd. ("Nexus" or the "Company") has been unable to secure a charter contract for its new built FPSO "Nexus 1" which is up for delivery from the yard 21 July 2009. As a consequence, an agreement between the banks and the Bondholders need to be in place in order for the Company to be able to take delivery of the vessel and to secure the financing for covering the running expenses during a lay-up period. Since such agreement between the banks and the bondholders is yet not in place, the Company will today summons two Bondholders meetings related to its USD 175 million second lien bond loan and the USD 75 million convertible loan asking for a deferral of the interest payments due 7 June 2009 and 25 June 2009, respectively, in order for the parties to have more time to reach an agreement. The Company is hereby proposing to defer the interest payment dates until 24 June 2009 and 9 July 2009 respectively. Such proposal is subject to approval in the two Bondholders meetings which is scheduled for 17 June 2009 at 13.00 in Oslo. The proposal is supported by a majority of the holders in the USD 175 million bond loan.
Conditional upon an approval of the proposal in the USD 175 million Second Lien Bondholders meeting on 17 June, 2009, the banks have agreed not to treat the Company as being in default under the loan agreement with the banks during the deferral periods.
For further information, please contact:
Anders Holm, CEO
aho@nexusfp.no +47 90 60 50 72
Arild Bårdsen, CFO
aba@nexusfp.no +47 92 66 75 90