RESTRUCTURING
› ASL MARINE SWEETENS TERMS
Cash-strapped ASL MARINE HOLDINGS will
launch a consent solicitation in January to
obtain approval from holders of S$150m
(US$109.5m) of its bonds to extend
maturities and relax certain financial
covenants.
At its third informal meeting with
bondholders last Wednesday, the
Singaporean offshore marine services
provider presented the recommended final
proposal of its restructuring plan with
improved terms for investors.
Under the latest proposed terms, its
4.75% 2020s (series 6) and 5.35% 2021s
(series 7) will be extended by five years. The
base coupons, which were to be reduced
to 2.5% under an earlier plan, will now
be 3%, with the extra 0.5% funded by a
management-shareholder pay cut. ASL
Marine said this reflected the willingness of
shareholders and management to share the
burden of the debt restructuring.
An extra 0.15% will be added to the
coupons for every S$1m increase in
the company’s Ebitda (excluding other
operating income) above a base of S$65m,
giving investors an incentive to share in
any operating upside. This addition will be
capped at 2%.
The company will pay 1% for a
mandatory redemption, plus 0.15% (capped
at 4%) for every S$1m increase in Ebitda.
It is asking bondholders to remove
two covenants, namely the consolidated
total liabilities to consolidated tangible
net worth ratio of over 2.75x, and
the consolidated total borrowings to
consolidated tangible net worth ratio of
more than 2x. In return, investors holding
the series 006 notes will be given 462,500
warrants per lot of S$250,000 notes, while
those with 007 notes will get 578,125
warrants. The exercise price will be S$0.06,
down from the company’s previously
proposed S$0.08.
The company expects to announce the
consent solicitation in early January with
completion likely in late January or early
February.› PAC RADIANCE GETS EXTENSIONThe Singapore High Court has approved
applications from PACIFIC RADIANCE and
subsidiaries Pacific Crest and CSI Offshore
to extend their respective moratoria.
The moratoria, which stay legal
proceedings against the companies, will be
extended from December 11 to January 14.
The next hearing is scheduled for January
14, at which time the companies will apply
for further extensions.
Pacific Radiance obtained approval in late
August from holders of S$100m 4.3% bonds
for a deferred cash payment and a debt-to-
equity swap.
Pacific Radiance also announced that
it had agreed with creditor Standard
Chartered Bank to sell two vessels whichwere no longer integral to its restructuring
plans.› MAYBANK EXTENDS HYFLUX DEADLINEMalayan Banking has agreed to further
extend the deadline for HYFLUX’s sale of the
Tuaspring integrated power and water
project to December 28, after the earlier
targeted date of November 29 lapsed.
The Malaysian bank is the sole secured
creditor of the S$720m loan used to build
Tuaspring, which is owned and operated by
cash-strapped Hyflux.
Hyflux is restructuring its debt and has
secured strategic equity investors in the
company.
Maybank requires Hyflux to execute
a binding agreement with a successful
bidder or investor for the project. The
latest deadline extension does not
preclude Maybank’s right to terminate
the collaboration agreement if the new
deadline is breached. Under the agreement,
Maybank agrees not to take any action on
the loan while it works with Hyflux on the
sale process.Top bookrunners of all Singapore dollar bonds
1/1/18 – 30/11/18
Amount
Name Issues S$(m) %
1 DBS 42 8,068.4 38.8
2 OCBC 29 4,104.7 19.8
3 UOB 17 2,886.3 13.9
4 Standard Chartered 14 2,015.2 9.7
5 HSBC 14 1,837.4 8.8
6 Credit Suisse 5 545.7 2.6
7 CIMB Group 3 308.8 1.5
8 Maybank 2 280.0 1.4
9 UBS 1 175.0 0.8
10 Commerzbank 1 100.0 0.5
Total 64 20,781.2
*Market volume
Proportional credit
Source: Refinitiv data SDC Code: AS12
Top bookrunners of all Singapore dollar bonds
(non-domestic)
1/1/18 – 30/11/18
Amount
Name Issues S$(m) %
1 HSBC 3 900.0 32.1
2 DBS 4 715.0 25.5
3 OCBC 4 390.0 13.9
4 Standard Chartered 3 265.0 9.5
5 UOB 2 215.0 7.7
6 UBS 1 175.0 6.3
7 Commerzbank 1 100.0 3.6
8 Credit Suisse 1 40.0 1.4
Total 8 2,800.0
*Market volume
Proportional credit
Source: Refinitiv data SDC Code: AS14Top bookrunners of all Singapore dollar
bonds (domestic)
1/1/18 – 30/11/18
Amount
Name Issues S$(m) %
1 DBS 38 7,353.4 40.9
2 OCBC 25 3,714.7 20.7
3 UOB 15 2,671.3 14.9
4 Standard Chartered 11 1,750.2 9.7
5 HSBC 11 937.4 5.2
6 Credit Suisse 4 505.7 2.8
7 CIMB Group 3 308.8 1.7
8 Maybank 2 280.0 1.6
9* SMFG 1 82.4 0.5
9* Citigroup 1 82.4 0.5
Total 56 17,981.2
*Market volume
Proportional credit
Top bookrunners of Singapore syndicated loans Source: Refinitiv data SDC Code: AS15
1/1/18 – 30/11/18
Amount
Name Deals US$(m) %
1 DBS 19 3,532.3 12.2
2 OCBC 12 2,363.4 8.1
3 UOB 9 2,234.8 7.7
4 Maybank 6 1,671.6 5.8
5 SMFG 6 1,643.0 5.7
6 Deutsche 6 1,247.7 4.3
7 Standard Chartered 6 1,196.3 4.1
8 ANZ 8 1,094.1 3.8
9 ING 7 1,002.1 3.5
10 Bank of China 7 989.0 3.4
Total 44 29,019.4
* Based on market of syndication and market total
Proportional credit
Source: Refinitiv data SDC Code: S16bSingapore global equity and equity-related
1/1/18 – 30/11/18
Amount
Name Issues US$(m) %
1 DBS 17 1,133.5 23.2
2 Goldman Sachs 3 666.3 13.6
3 Citigroup 7 528.6 10.8
4 HSBC 5 430.2 8.8
5 JP Morgan 3 318.6 6.5
6 Credit Suisse 3 278.5 5.7
7 OCBC 3 255.0 5.2
8 UOB 9 201.2 4.1
9 RHB 2 168.4 3.4
10 BAML 2 156.9 3.2
Total 63 4,887.2Source: Refinitiv data