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@George,
Neither, I'm a huge Tigers fan!
Done with "
Cheers YB
( Huddersfield Town or Sheffield Wednesday??)
Something tells me that this is far from "Over and
Hopefully it will come out of suspension at 30.00+
George, its a massive shame the Malaysian asset sale hasn't been completed yet. If the figures PFC would receive for those assets are correct a D4E perhaps wouldn't be on the cards.
Is it me or does this news from the companies web site come across as very encouraging
Thanks Android maybe light at the end of the tunnel
Cont.
'Good progress is also being made with non-core asset disposals, with non-binding offers received for the Group’s share in the PM304 Production Sharing Contract (PSC) in Malaysia, the process for which could be completed in Q3 2024. Offers are in line with the value of anticipated cash flows (subject to oil price and oil premium assumptions) over the remaining term of the PSC which expires in September 2026.'
https://www.petrofac.com/media/news/delay-to-publication-of-2023-results-update-on-restructuring-and-trading-update/
From the company website
'The Company expects a short delay in issuing its audited full year 2023 results, which it now expects to publish by 31 May 2024. Although the audit is substantially progressed, the Company and its auditor require additional time to complete the annual report.
As a result, in accordance with the Financial Conduct Authority’s (FCA) Disclosure and Transparency Rules and Listing Rules for the publication of audited financial statements, the Company has engaged with the FCA, and trading in the Company’s shares will be temporarily suspended from 7.30 a.m. on 1 May 2024 until its full year 2023 results are published.'
'As part of the Group’s ongoing financial restructuring, an ad-hoc group of senior secured noteholders have made a proposal to provide further credit to the business of up to US$300 million, comprising US$200 million of new funds and US$100 million of credit support to help secure performance guarantees for certain of its existing contracts. This non-binding proposal is dependent upon, amongst other things, the Company securing these performance guarantees, and would require the conversion of a significant proportion of the Group’s existing debt to equity.
The Company is in active discussions with credit providers to obtain the required guarantees, which would also release over US$200 million of collateral and retentions, and will provide an update on the outcome of those discussions as appropriate.
This development comes as the Company continues to manage its payment obligations to preserve liquidity whilst progressing the other components of the restructuring with other stakeholders.
The Group’s upcoming payment obligations include amortisation payments due on the Company’s bank facilities and the coupon payment due on its senior secured notes on 15 May 2024.
The Company’s lending banks have agreed to a number of rolling short term deferrals of contractual amortisation payments while the Company progresses the financial restructuring. The Company continues to engage with its lending banks on extending these deferrals as required.
The Company does not expect to make the payment of the bond coupon on the due date of 15 May. The payment has a 30-day grace period. The ad-hoc group of noteholders, representing approximately 41% of the outstanding notes, has entered into a forbearance agreement with the Company, which provides an assurance that those noteholders will not take any action in respect of the non-payment of the coupon until at least 30 June 2024, in order to provide time for the Group’s financial restructuring to be progressed. The Company will seek to engage with other noteholders in the coming weeks.
Managing these payment obligations is of critical importance to the Company’s ability to maintain sufficient liquidity in the short-term while it is working to implement the financial restructuring.'
The article doesn't mention anything new. Talks about how the legacy contracts are mainly to blame for PFCs woes and that a non core asset sale is on the cards. As has been reported they're looking at flogging the Malaysian assets. Also talks about the D4E and the $300 million injection. Nothing else.
Sorry Got no access. The only thing i can see is "'breaking' of parts seems likely as firm suspends trading".
So 2 points i can collect from here
1. Breaking and not mentioned non core assets
2. Breaking likely as it has suspended trading
My negative approach tells me that it is talking about administration.
Barclays cuts Petrofac price target to 10 (85) pence - 'equal weight'
Can you post article if you can as unable to read it.
Someone has thrown the spanner
https://www.energyvoice.com/oilandgas/north-sea/552529/petrofac-asset-sale-on-the-cards-over-debt-challenges/
Shahz. I'm in agreement, a high PI contingent will defo be a red flag for me moving forward! PFC was a basket case a few years ago with the SFO investigation, it is here that PIs took the majority holding (especially with O&G out of favour for instititutes). Somehow the company has turned it around with the Tennet contract. If the MEED report on Algeria £1bill contract true then the company really is on a forward track. The investment industry now wants to take PFC from the PI and that is what this whole play is. It's going to need a left field solution. COME ON ASFARI!!!!
I see no possibility of a takeover until there is a clear picture. One will only buy this if they have clear idea of what they are buying. PFC is not transparent about results so far. They clearly knew results were not coming but instead of being transparent they kept it hiding until 29th. My view is simple they are doing it to stop a potential bid. If there was a bid, majority until a few weeks ago were PIs. Not sure how much ownership has shifted recently.
They are closing all options.
At the end it could be
1. full control by some
2.parts given to some
Bondholders/debtholders/shareholders (clearly All are losers as of now )
One lesson. Be careful on companies where PIs are in majority