Renaissance unit Topaz signs first phase of $330 million debt plan

Renaissance unit Topaz signs first phase of $330 million debt plan

Topaz Energy and Marine, a unit of Oman's Rennaissance Services, has signed the first phase of a $330 million refinancing loan agreement with banks, its parent said in a statement to the bourse on Sunday.

May 27, 2012 11:58 by Reuters

Topaz Energy and Marine, a unit of Oman’s Rennaissance Services, has signed the first phase of a $330 million refinancing loan agreement with banks, its parent said in a statement to the bourse on Sunday.

United Arab Emirates – based Topaz, appointed banks in November to lead a refinancing initiative, after it was hit by a $2.9 million fraud scandal, and forced to pull a London listing amid valuation concerns and regional unrest.

The first phase of the refinancing plan totals $203 million and was arranged and financed by Standard Chartered, DVB Bank and First Gulf Bank, the statement said.

The deal will refinance Topaz’s existing borrowings and releases $60 million in trapped equity, it added.

No further details on the terms and pricing of the loan were provided in the statement.

Topaz operates mainly in the Middle East, North Africa and Caspian Sea region, running a fleet of 100 offshore support vessels.

Vishal Goenka, group chief financial officer of Renaissance said the company is “encouraged” by the interest of regional and international banks for the second phase of the refinancing package.

The company originally said it was seeking $380 million for refinancing, and expected the deal to close by the end of last year.

Shares in Renaissance are down 5.5 percent this year, after slumping over 50 percent in 2011.

(Reporting by Rachna Uppal; Editing by Dinesh Nair)