Thoresen to issue convertible bond and list Mermaid on the Singapore Exchange

Mermaid, owned by Thoresen 78.09 per cent, provides drilling and sub-sea engineering services for the oil and gas industry in South East Asia. Mermaid's clients base includes, amongst other companies, BP, Chevron, Exxon Mobil, Amerada Hess (Indonesia-Panghah), Mitsubishi Heave Industry, and Tanker Pacific.

The company's shareholders meeting approved the issuance of up to US$170 million in convertible bonds, according to the company's statement.

Proceeds from the convertible bonds will be used to fund its fleet renewal and expansion plan and to refinance its existing secured debt.

At the shareholders' meeting, Thoresen also announced to its shareholders that it had appointed Macquaric and Merrill Lynch as the Joint Lead Managers for its upcoming issue.

The company's shareholders meeting also approved the increase of registered capital by Bt225 million shares, of which Bt175 million shares will be allotted for the convertible debenture issuance and 50 million shares for a future private placement.

Thoresen had total consolidated revenues and net profits of Bt17.06 billion and Bt3.5 billion respectively last year.