Sapura energy receives second approval-in-principle from financiers for its restructuring exercise
Sapura Energy Berhad (“Sapura Energy” or “the Company”) received written confirmation from the Corporate Debt Restructuring Committee (“CDRC”) on 11 January 2025 that MCF Financiers representing at least seventy-five percent (75%) in value of the Multi-Currency Financing Facilities have provided their requisite additional approval-in-principle in respect of certain refinements to the terms of the Proposed Restructuring Scheme (“PRS”) proposed by the Company for its debt restructuring exercise (collectively, “second AIP”).
Since September 2022, Sapura Energy and the MCF Financiers have been engaged in CDRC-mediated negotiations to reach an accord on the PRS, for which the MCF Financiers provided the first approval-in-principle in December 2023. Thereafter, Sapura Energy continued to refine the PRS, taking into consideration the progress in resolving certain contingent claims through the proof of debt process. The second AIP for the PRS paves the way for court-convened meetings with the relevant classes of creditors of Sapura Energy and its relevant subsidiaries. It will also facilitate a prospective financial investment from a White Knight.
Sapura Energy Interim Chairman Shahin Farouque Jammal Ahmad expressed gratitude to CDRC for their invaluable guidance and support during the mediation process. “We wish to thank both the CDRC and the MCF Financiers for continuing to support Sapura Energy’s turnaround effort”, said Shahin. “With this positive development, Sapura Energy is another step closer to regularising our financial position and emerging from our status as a Practice Note 17 company.”
About Sapura Energy Berhad
Sapura Energy Berhad is a global integrated oil and gas services and solutions provider operating across the entire upstream value chain, including renewables. The Group’s spectrum of capabilities covers exploration, development, production, rejuvenation, as well as decommissioning and abandonment. With a highly skilled and technically capable workforce, strategic world-class assets, and strong project management capabilities, the Group today delivers its integrated solutions and expertise in over 20 countries. In 2019, Sapura Energy was named APAC Company of the Year for the Energy Services, Offshore and Marine category by the Energy Council.
