Brief: Nordic Shipholding Provides Company Update

Nordic Shipholding A/S

23/03/2021 13:36

March 23 (Reuters) - Nordic Shipholding A/S  NORDIC.CO :
    * REG-COMPANY ANNOUNCEMENT 3/2021
    * NEGATIVE EQUITY DUE TO FURTHER WRITE DOWN ON VESSELS
    * INCURRED A LOSS AFTER TAX OF USD 16.5 MILLION IN 2020
COMPARED
TO A LOSS AFTER TAX OF USD 3.9 MILLION IN 2019.
    * MANAGED TO PAY DOWN LOAN LIABILITIES BY USD 14.8 MILLION
FROM A
COMBINATION OF CASH SWEEP AND LOAN AMORTIZATION.
    * TCE RATES STARTED SPIRALLING DOWNWARDS FROM MAY 2020, AND
CONTINUED TO SLIDE THROUGH END OF YEAR.
    * EQUITY WAS COMPLETELY ERASED AND ENTERED INTO NEGATIVE
TERRITORY
PRIMARILY DUE TO WRITING DOWN
    * BOARD REMAINS OPTIMISTIC THAT MERGER MAY BE CONSUMMATED AS
ACTIVE DISCUSSION WITH POTENTIAL MERGER PARTNERS ARE PROGRESSING
WELL
    * DESPITE GENERALLY GOOD OPERATING PERFORMANCE, GROUP'S
EQUITY WAS
COMPLETELY ERASED AND ENTERED INTO NEGATIVE TERRITORY PRIMARILY
DUE TO WRITING DOWN OF CARRYING VALUE OF REST OF FLEET
    * IT IS MANAGEMENT'S EXPECTATION THAT LENDERS WILL FINANCE
COMPANY
IN A PERIOD LONGER THAN 31 DECEMBER 2021

Source text for Eikon:  ID:nGNEbxw6Rv 
Further company coverage:  NORDIC.CO 

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