Swissco Holdings looks very close to following fellow Singaporean offshore firm Swiber Holdings into judicial management with news today that its restructuring plan has been rejected by its bank lenders.
The plan, first presented on October 24, asked noteholders to accept a debt for equity deal, while seeking bank refinancing , and moving to scrap four of its rigs which lay idle.
Adding to its woes, X-Drill Holding has obtained a court order in the Republic of Equatorial Guinea for the arrest of four of Swissco’s jackup rigs.
Swissco, originally an OSV operator, diversified into rigs in mid-2014 just ahead of global oil prices plunging.
Swissco is weighed down by $147.5m in debts with just $1.2m in cash, unable to make key repayments.
