Vallianz creditors accept 8.8% equity stake for S$7.6m of debt

VALLIANZ Holdings' trade creditors have agreed to accept 380.6 million new shares, or an 8.8 per cent post-enlargement stake, in exchange for setting off S$7.6 million of debt, the offshore support vessel owner and operator announced on Wednesday.

The new shares are priced at two Singapore cents apiece, or a one per cent discount to Vallianz's weighted average price of 2.02 Singapore cents on Feb 20. Trading in the stock was halted on Feb 21, and will resume on Thursday.

A total of 13 creditors are taking part in the scheme. Zeus Marine Pte Ltd will take the largest share of the placement, subscribing to 140.2 million shares, or a 3.2 per cent post-enlargement stake, in exchange for forgiving S$2.8 million of debt owed by Vallianz.