FRO - Announces Debt-for-Equity Exchange
(Thomson Reuters ONE) -
Frontline Ltd. (NYSE:FRO) ("Frontline" or the "Company") today announced that it
has entered into a private agreement to exchange $23.0 million of the
outstanding principal amount of the Company's 4.5% Convertible Bond Issue
2010/2015 (the "Bonds") for an aggregate of approximately 7.4 million shares at
an exchange price of $1.61 per share, the closing price of the Company's shares
on the New York Stock Exchange on October 24, 2014, and a cash payment of $10.0
million plus accrued interest. In addition, under the exchange agreement,
Frontline has agreed to issue, on November 4, 2014, up to an additional 0.8
million shares to the holders of the Bonds based on an agreed formula if the 5-
day volume-weighted average price (VWAP) of the Company's shares, for the period
ending November 3, 2014, is lower than the exchange price, subject to a minimum
VWAP price of $1.45 per share.
The issuance of the common shares to the holders of the Bonds is expected to
close on October 31, 2014.
October 28, 2014
The Board of Directors
Frontline Ltd.
Hamilton, Bermuda
Questions should be directed to:
Jens Martin Jensen: Chief Executive Officer, Frontline Management AS
+47 23 11 40 00
Inger M. Klemp: Chief Financial Officer, Frontline Management AS
+47 23 11 40 00
FORWARD LOOKING STATEMENTS
This report contains forward-looking statements including but not limited to
statements regarding the Company's financing activities and other future
activities. These forward-looking statements are subject to risks and
uncertainties, and actual results may differ materially. Certain factors that
may affect actual results to differ materially include, without limitation, our
ability to complete and a delay in completing the debt-for-equity exchange
described above. Please refer to Frontline's SEC filings for more information
on the other factors that could cause actual results to differ materially from
expectations, specifically the sections titled "Risk Factors" and "Forward-
Looking Statements" in the Company's Annual Report on Form 20-F.
This information is subject of the disclosure requirements acc. to §5-12 vphl
(Norwegian Securities Trading Act)
This announcement is distributed by GlobeNewswire on behalf of
GlobeNewswire clients. The owner of this announcement warrants that:
(i) the releases contained herein are protected by copyright and
other applicable laws; and
(ii) they are solely responsible for the content, accuracy and
originality of the information contained therein.
Source: Frontline Ltd. via GlobeNewswire
[HUG#1866332]
Unternehmensinformation / Kurzprofil:
Datum: 28.10.2014 - 13:46 Uhr
Sprache: Deutsch
News-ID 347559
Anzahl Zeichen: 2970
contact information:
Town:
Hamilton
Kategorie:
Business News
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