|WINS is pleased to commemorate the full repayment of a US$39.72 million syndicated loan to OCBC and PT OCBC NISP. |
JAKARTA, July 2, 2018 - (ACN Newswire) - On 1st July 2018, the WINS Group fully repaid the US$39.72 million syndicated loan by OCBC Bank and PT OCBC NISP that was disbursed in 2010. Sugiman Layanto, Managing Director of PT Wintermar Offshore Marine Tbk (WINS), said, "Although the past few years have been very challenging for everyone in the oil and gas sector, Wintermar has stood by our commitment to pay down our loans. We are proud to conclude the final repayment of our first syndicated loan of US$39.72 million according to schedule. The current industry environment provides good opportunities to reposition for growth and by managing our gearing at a conservative level of 50% at present, we are in a good position to capitalize when a good opportunity arises. We are thankful to OCBC for their support of the Wintermar Group and look forward to continuing our strong relationship."
Sale of 2 units of Fast Multipurpose Supply Vessels to Fast Offshore Supply Pte Ltd.
In a separate information disclosure on 29th June 2018, WINS announced that a 51% subsidiary, PT Fast Offshore Indonesia has entered into a MOA to sell 2 Fast Multipurpose Vessels to an Associate Company, Fast Offshore Supply Pte Ltd ("FOS"), to partially offset a loan of US$15.2 million from the same company. This transaction would further reduce the group's total long term loans to US$70.6 million. The resulting reduction in interest expenses and loan repayments in future years, would therefore free up future cash flow for more targeted investments should the opportunity arise. As this is an affiliated transaction, the Company has complied with OJK Regulations in obtaining an independent Fairness Opinion from KJPP Bambang & Ernasapta which concluded that the transaction was conducted at arms' length using an independent market valuation for the vessel and is considered fair to the public shareholders.
This sale is part of a deleveraging exercise to strengthen the group's financial position and streamline the Company's fleet to optimize utilization as the oil and gas industry is seen to have bottomed. The two vessels are the older of the 4 units of Fast Multipurpose Vessels in the Company's fleet for which the demand of this type of vessels in Indonesia has been very weak. FOS, based in Singapore, manage a fleet of similar vessels working in overseas markets like Russia and Brunei where there is better demand for such specialized vessels. Following the sale, the Group will have reduced the overall net gearing to 43% from 50% at end of December 2017, therefore is better placed to undertake selective capital expenditure in the future which have better utilization prospects.
So far this year the Group has sold a total of 5 vessels for a total consideration of US$16.2 million.
WINS Group's contracts on hand as at the end of May 2018 amounted to US$71.0 million.
Ms. Pek Swan Layanto, CFA
PT Wintermar Offshore Marine Tbk
Tel: +62-21-530-5201 Ext 401
Topic: Press release summary
Source: PT Wintermar Offshore Marine Tbk
Sectors: Daily Finance, Energy, Alternatives, Marine & Offshore
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