Norske Skog extends note offer after EGM call

Dec 12, 2015 at 12:15 am by Staff


Following a call last week for an extraordinary general meeting, Norske Skog has put off the deadline for its offer to note holders.

The Norway-headquartered newsprint and paper maker is facing problems through the fall in the value of the kroner, and also because newsprint prices in Asia are so low.

In November, it made an offer to note holders asking them to make new agreements with extended repayment dates, particularly of those due next year and in 2017.

Now with the EGM being held, Norske Skog has extended to January 12, the deadline of the exchange offer, and also the 'consent solicitation' of holders of the 2016, 2017, 2021 and 2023 notes, which amend certain terms of the 2016 and 2017 notes and amend the governing law of the 2021 and 2023 notes.

The extraordinary general meeting has to be held on or before January 7, 2016, a month after the request from GSO Capital Partners LP and Cyrus Capital Partners LP. The two owned a total of 11.5 per cent of Norske Skogindustrier ASA's shares. A formal invitation to the meeting to all shareholders must give at least three weeks notice.

"Due to the call for an EGM, we find it sensible to extend the exchange offer period," president and chief executive Sven Ombudstvedt said in a statement.


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