The restructuring of French offshore vessel giant Bourbon is to be carried out by a group consisting of some of the country’s biggest banks, local judges ruled on Monday.
The commercial court of Marseilles decided to hand over Bourbon’s assets to Societe Phoceenne de Participations (SPP). The handover is scheduled to take place on 2 January, Bourbon said in a press release.
SPP is a vehicle of some of France’s biggest banks. It comprises BNP Paribas, Credit Lyonnais, Natixis, Societe Generale, Credit Mutuel Equity SCR, as well as two regional offshoots of Credit Agricole, another big French lender.
Bourbon's statement did not include any other information on the court-ordered transaction.
Bourbon, a company controlled by Jacques de Chateauvieux, is one of the world’s biggest providers of marine services of offshore oil and gas projects with a fleet of more than 400 offshore support vessels (OSVs).
Holding company Bourbon Corporation and subsidiary Bourbon Maritime were known to be the subject of takeover proposals as part of restructuring proceedings.
Bourbon sought the court-mandated process in July after China’s ICBC Leasing signalled it would demand repayment of its debts. Bourbon halted debt repayments as early as in April last year.
A takeover by its banks always seemed the most likely option after ICBC blocked a previous rescue plan submitted by Chateauvieux and his family, as TradeWinds reported earlier this month.
Chateauvieux's offer could not be examined because ICBC refused to discuss a possible agreement, which was a condition of any deal. ICBC instead backed Bourbon’s French lenders instead, who have three quarters of the company’s debt.
No talks
A source close to the lenders told TradeWinds that neither ICBC Leasing nor the French banks have had discussions with De Chateauvieux since Bourbon halted debt repayments in April 2018.
ICBC is linked to the other banks in terms of their offer, so the Chinese company working with De Chateauvieux did not make sense, the source added.
As TradeWinds reported earlier this month, SPP wants to acquire 100% of the Bourbon group, converting €1.4bn ($1.55bn) of debt into equity and another €300m into bonds issued by SPP.
French banks' plan also includes €150m in new bank financing, of which €30m can be released as soon as the transfer of ownership is completed to meet immediate liquidity needs.
French logistics group Peschaud and US offshore vessel owner Tidewater were also expected to submit offers but ultimately failed to produce them in court.
