(Sharecast News) - Lamprell updated the market on its funding on Tuesday, reporting that it has agreed, in principle, the structure and commercial terms of a $45m (£33.04m) UAE Export Credit Agency-backed revolving trade loan facility with two regional banks.
The London-listed, Emirates-based oil services company said the initial facility would assist it with the working capital requirements of the two IMI newbuild jackup rigs which were currently under construction at its Hamriyah yard.
As part of the terms of the facility, there was the option of a further $45m accordion funding arrangement, subject to the provision of additional security to the banks similar to that for the initial facility, which would be agreed in due course and was expected to be available in the first quarter of 2022.
"The drawdown of the initial facility will be conditional on, amongst other things, the group successfully completing a 19.99% equity raise," the board said in its statement.
"As previously announced, the company expects to undertake the equity raise in the fourth quarter of 2021."
At 0829 BST, shares in Lamprell were flat at 35p.
3 May 2016 14:44