Perisai to earmark S$27.3m for alternative proposal to bondholders

SINGAPORE (BLOOMBERG) - Malaysia's Perisai Petroleum Teknologi Bhd will earmark about US$20 million (S$27.3 million) out of a financing package it is close to securing and offer it as part of an "alternative proposal" to investors after failing to reach agreement with them to restructure a bond due on Monday.

The sum is part of an "indicative financing package" the offshore oil rig contractor and its joint venture partner Emas Offshore Ltd have received from a financial institution, the company said in a filing with the Singapore Exchange early on Tuesday (Oct 4).

"Part of the amount from the indicative offer would be earmarked towards a mutually acceptable resolution with the company's noteholders with regards the notes through the availability to the Perisai Group of a sum of approximately US$20 million," Perisai said.

On Monday, Perisai bondholders voted against the company's proposal to extend the maturity of its S$125 million bond to Feb 3, 2017.

Perisai Petroleum said it is working with Emas Offshore "towards resolving various issues" in order to secure a formal letter of offer from the financial institution. The discussions also include a put option granted by Emas to Perisai over the latter's 51 per cent stake in their SJR Marine Ltd venture.

Emas also owns 11.8 per cent in Perisai.