New bond loans (02.02.2005)
As previously announced, Aker ASA is seeking to repay its outstanding bank loans by establishing a new long-term bond loan of between NOK 0.5 billion and NOK 1.0 billion, with a term to maturity of 5-7 years. To execute this refinancing, Aker has enlisted the services of Pareto Securities and DnB NOR Markets and given them the mandate to facilitate two new bond loans: a floating-interest loan with five years to maturity and a fixed-interest loan with a term to maturity of 7 years.
The floating interest loan (5 years to maturity) will be offered with a coupon interest of 3-month NIBOR plus 3.75 percentage points. The fixed-interest loan (7 years to maturity) will be offered at a coupon interest of 8.00 percent per annum. The loans have framework ceilings of NOK 600 million each; however, the total loan amount is not to exceed NOK 1 billion. The settlement date for both loans is 2 March 2005. The loan facilitators may be contacted for further information about the terms and conditions associated with the new loans.
Following the 24 January 2005 sale of Aker Yards ASA and Aker Kværner ASA shares, Aker ASA has cash and cash equivalents approximately equal to the company’s interest-bearing debt to non-Group lenders.
“Financing Aker ASA, the parent company of the Aker Group, in the long-term bond market benefits the Aker Group as a whole. By following this route, the banks’ lending capacity can be made available in its entirety to the individual operating entities of Aker Kværner, Aker Yards, Aker Seafoods, Aker Material Handling, and other Group companies. We are achieving optimal freedom of action and flexibility for the Group,” says Aker ASA’s President and CEO Leif-Arne Langøy.
Following the 24 January 2005 sale of Aker Yards ASA and Aker Kværner ASA shares, Aker ASA has cash and cash equivalents approximately equal to the company’s interest-bearing debt to non-Group lenders.
“Financing Aker ASA, the parent company of the Aker Group, in the long-term bond market benefits the Aker Group as a whole. By following this route, the banks’ lending capacity can be made available in its entirety to the individual operating entities of Aker Kværner, Aker Yards, Aker Seafoods, Aker Material Handling, and other Group companies. We are achieving optimal freedom of action and flexibility for the Group,” says Aker ASA’s President and CEO Leif-Arne Langøy.
