Sapura Energy seeks debt restructuring

By BLOOMBERG / Pic TMR

SAPURA Energy Bhd, a local oil and gas services provider, is seeking to refinance loans and revolving credit facilities totalling more than RM10 billion to alleviate its debt burden, according to people with knowledge of the matter.

The company is seeking to extend borrowings by as much as seven years, the people said, declining to be identified because the matter is private.

Financing facilities totalling RM1.9 billion due from December to February have had their maturities extended until March, as Sapura Energy and its lenders discuss a debt restructuring, said the people.

Deliberations are still ongoing and there is no certainty that a deal will be reached, according to the people.

A representative from Sapura Energy declined to comment. Sapura Energy’s balance sheet showed accumulated losses of RM4.4 billion as of the end of October, according to its latest financial statement.