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Marco Polo gets green light for S$50m note restructuring

NOTEHOLDERS on Friday gave the nod to proceed with the proposed restructuring of S$50 million medium term notes (MTN) issued by Marco Polo Marine.

Marco Polo said on Friday that some 172 votes, representing 97.18 per cent of the votes cast at the noteholders' meeting, were in favour of the MTN restructuring proposal.

Noteholders holding an aggregate S$44.25 million, or 88.5 per cent in principal amount of the outstanding MTN, were present at the meeting.

The majority vote clears the path for the redemption of the S$50 million notes that were maturing in October 2016 to be pushed back until 2019.

In exchange, Marco Polo had offered a second ranking mortgage on the land in Batam where its shipyard is located as security. An additional interest of 1.5 per cent will also be paid in two instalments to noteholders - 0.5 per cent in advance of the original maturity date of Oct 18 this year and the remaining one per cent payable in October 2017.

The company has requested for the trading halt to be lifted following the announcement on the green light for the MTN restructuring proposal.