Odfjell Rig II Ltd. (ODL), a subsidiary of Odfjell Drilling Ltd. and rig owner of Deepsea Bergen, has received a firm offer from its bank syndicate to amend and extend its senior secured term loan facility.
At closing of the amendment, which is expected ultimo August 2017, the facility amount will be USD 66M following the originally scheduled repayment of USD 14M in August. Scheduled installment under the amended and extended facility will thereafter be USD 6M in December 2017, USD 3.5M in September 2018, USD 3.5M in December 2018 and USD 7M quarterly thereafter. A balloon of USD 4M shall be paid together with the final installment.
An initial cash collateral will be established as security for the facility. The cash collateral is reducing and is expected to be USD 13M at year-end 2017 and shall be further reduced from Q1 2019.
Maturity of the facility will be 30 September 2020, subject to termination options for the lenders if the borrower, first time 12 months after closing and quarterly thereafter, is unable to document necessary backlog for Deepsea Bergen.
