Offshore Supply Vessel Market Faces More Restructuring in 2017 -Nordea

Normand Skipper solstad
Normand Skipper. Photo: Solstad Offshore

ReutersOSLO, Jan 5 (Reuters) – Thorodd Bakken, head of Nordea Norway’s Corporate & Investment Bank, expects more restructuring to take place in the offshore supply shipping industry in 2017, he told Reuters on the sidelines of a business conference on Thursday:

* Markets remain very demanding for offshore supply ship owners and it will continue to be so in 2017, he said

* Expect several restructurings to be completed, though they may be followed by a second or even a third round of restructuring as the market does not seem to improve

* It’s important that consolidation continues, it has started and it will continue

* Hopes Nordea’s loan impairments from oil related industry peaked in 2016

* Some of the key players in the Norwegian offshore supply industry are Farstad, where a refinancing process with Siem Oil Service Invest was terminated on Thursday, Solstad Offshore and Havila Shipping

* Nordea is the Nordic region’s largest bank and the second largest in Norway (Reporting By Stine Jacobsen, writing by Ole Petter Skonnord, editing by Terje Solsvik)

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