Endúr in breach of covenant for €100m bond

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Company to raise new equity to satisfy bondholders.

On Tuesday afternoon, it became apparent that the listed company Endúr, owner of the fish farming suppliers Artec Aqua and Sjøsterk, had violated the loan terms on its bond loan of NOK 1.1 billion (€107 million).

The company’s share price fell 12.8 per cent on Wednesday morning. The last traded share price is NOK 0.79.

The management of the company has worked intensively to haul a financing package ashore to remedy the breach in the bond loan ‘covenants’.

“Since it became aware of the breach of the agreement, the company has been in dialogue with its major shareholders. The shareholders support the company in this situation. As a result of this dialogue, the company today entered into a guarantee agreement with all its largest shareholders, including management and shareholders in BMO Entreprenør, Artec Aqua and Marcon, whereby such shareholders have fully guaranteed a total of NOK 110 million (€10.7 million) in new equity to be offered to the company. a share price of NOK 0.75 per share. The company plans to announce terms for a guaranteed increase in equity in the near future,” Endúr wrote in a stock exchange release.

The guarantee obligation is conditional on a satisfactory solution with the holders of the bonds. The company has engaged Arctic Securities to assist in dialogue with bondholders and the issue.