AusGroup to seek consent from note holders

Construction and engineering company AusGroup will launch a consent solicitation exercise for its $110 million of 8.45 per cent notes due in October this year, it said yesterday.

The first informal meeting with note holders will be on May 16 and run in conjunction with the Securities Investors Association (Singapore).

The notes, which were issued in 2014 under a $350 million multi-currency programme, originally bore a coupon of 7.45 per cent with a maturity in 2016.

After a consent solicitation exercise in 2016, note holders agreed to extend the maturity to 2018 while stepping up the coupon to 7.95 per cent from October 2016 to 2017, and to 8.45 per cent after October 2017.

AusGroup had a net profit of A$7.3 million (S$7.3 million) in the six months to Dec 31, 2017. Its assets as of Dec 31 stood at A$168.9 million, including A$33.5 million of cash and cash equivalents.

Liabilities were worth A$231 million at the time. The group generated positive cash flow of A$10.3 million during the last six months of 2017.

$7.3m

AusGroup's net profit in the six months to Dec 31, 2017.

AusGroup shares closed up 0.1 cent at 4.9 cents yesterday.

A version of this article appeared in the print edition of The Straits Times on May 10, 2018, with the headline 'AusGroup to seek consent from note holders'. Print Edition | Subscribe