HOUSTON, June 11, 2021 (GLOBE NEWSWIRE) – SEACOR Marine Holdings Inc. (NYSE: SMHI) (the “Company” or “SEACOR Marine”), a leading provider of marine transportation and power facility support services in offshore worldwide, announced that Falcon Global USA LLC (“FGUSA”), an indirect subsidiary of SEACOR Marine, has entered into a second amendment and conditional payment agreement (the “Conditional Payment Agreement”) with respect to the line credit facilities of FGUSA, as a borrower, and certain of its subsidiaries, dated February 8, 2018, administered by JPMorgan Chase Bank, NA (as amended, the “FGUSA Credit Facility”). As of June 10, 2021, there was $ 117.3 million of outstanding principal under the FGUSA Credit Line.
Under the terms of the Conditional Payment Agreement, the $ 117.3 million of the principal currently outstanding will be deemed fully satisfied upon payment to lenders of a total of $ 50.0 million comprised of (i) $ 25.0 million to be paid at the time of signing. of the Conditional Payment Agreement, and (ii) $ 25.0 million to be paid on or before December 15, 2021. The proceeds from the hull and machinery insurance received by the lenders in connection with the SEACOR Power claim will be offset and meet the requirement to make the second payment of $ 25.0 million. Such insurance proceeds are expected to be received by December 15, 2021 in the amount of $ 25.0 million and will be paid to lenders in accordance with the terms of the FGUSA Line of Credit. After the final payment, the FGUSA line of credit will end and the mortgages and security agreements will be released with respect to the nine lift boats that guarantee the obligations derived from it. SEACOR Marine has provided a limited warranty with respect to FGUSA’s obligations under the Conditional Payment Agreement.
After giving effect to the liquidation of the FGUSA Credit Line and based on the total debt of SEACOR Marine reported as of March 31, 2021, the total debt of SEACOR Marine will be reduced by $ 112.5 million, resulting in a debt total of $ 354.2 million, 24.1%. reduction of the $ 466.7 million of total debt reported as of March 31, 2021. SEACOR Marine’s net debt will decrease by $ 87.5 million on the same basis after final payment.
John Gellert, Executive Director of SEACOR Marine, commented:
“This transaction significantly frees up our balance sheet and is a cumulative use of our liquidity as we re-establish the capital structure of our fleet of forklifts. It also further advances our previously established strategy to maintain full financial flexibility and our commitment to US flag lift boats.
“We remain focused on our response to the SEACOR Power incident and look forward to completing recovery efforts in July. We continue to cry for our crew members, partners and loved ones of those who were lost. “
SEACOR Marine provides global support and shipping services to offshore power facilities around the world. SEACOR Marine and its joint ventures operate a diverse fleet of specialized and offshore support vessels that deliver cargo and personnel to offshore facilities; handle the anchors and mooring equipment necessary to tie the gear to the seabed; tow platforms and help position them and move them between regions; provide support for construction, well repair and decommissioning; and transport and launch equipment used underwater in drilling and installation, maintenance and repair of wells. In addition, SEACOR Marine vessels provide accommodation for technicians and specialists, security support and emergency response services.
Certain statements discussed in this release, as well as other reports, materials, and oral statements that the Company publishes from time to time to the public, constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Generally Words such as “anticipate”, “estimate”, “expect”, “project”, “intend”, “believe”, “plan”, “objective”, “forecast” and similar expressions are intended to identify forward-looking statements. Such forward-looking statements relate to management’s expectations, strategic objectives, business prospects, anticipated economic performance and financial condition and other similar matters. Forward-looking statements are inherently uncertain and are subject to a variety of assumptions, risks and uncertainties that could cause actual results to differ materially from those anticipated or expected by company management. These statements are not guarantees of future performance and actual events or results may differ materially from these statements. Actual events or results are subject to significant known and unknown risks, uncertainties, and other significant factors, many of which are beyond the company’s control and are described in documents filed by the company with the SEC. It should be understood that it is not possible to predict or identify all of these factors. Given these risk factors, investors and analysts should not place undue reliance on forward-looking statements. Forward-looking statements speak only as of the date of the document in which they are made. The Company disclaims any obligation or commitment to provide updates or revisions to any forward-looking statement to reflect any change in the Company’s expectations or any change in the events, conditions, or circumstances on which the forward-looking statement is based, except as required. law. However, it is advisable to consult any additional disclosures that the Company makes on related matters in its filings with the Securities and Exchange Commission, including Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and Reports current on Form 8-K (if any). These statements constitute the Company’s warnings under the Private Securities Litigation Reform Act of 1995.
Visit the SEACOR Marine website at www.seacormarine.com for additional information.
For all other requests, please contact [email protected]