Songa pares debt with share issue
Norway’s Songa Offshore has raised NOK 496 million from a private share placement.
Over 18 million shares were issued to Norwegian and international investors at a price of NOK23.70 a share. The issued share capital represents 17.2% of the outstanding shares in Songa Offshore.
Songa has issued over 2.8 million of shares to cancel a total return swap with Nordea Bank Norge.
In addition, the drilling contractor has also completed the restructuring of the 3.25% Songa Offshore ASA Senior Unsecured Convertible Bond Issue 2007/2010. Over 13 million of new shares were issued to the bondholders.
The remaining bondholders will be offered the option to take up a senior unsecured bond issue with maturity June 2012. The execution of the offer is subject to the passing of a bondholder resolution with two-thirds majority.