Golden Energy Offshore raising $30m to fund Vroon quintet buy

Norway’s Golden Energy Offshore Services (GEOS) is looking to raise up to $30m of new capital to fully fund the acquisition of five vessels it bought from Vroon.

In early August, GEOS struck a deal to buy five ships from Vroon for $94m. The deal includes four unnamed PSVs and one the VOS Sugar SSV, all built between 2015 and 2016.

The PSV quartet is of the same PX 121 design as GEOS’ Energy Duchess and Energy Empress vessels serving the oil and gas market. The vessels can also be outfitted with accommodation units and gangways for work in the offshore wind sector.

Later that month, GEOS signed a non-binding term sheet with Fleetscape Capital for a $98.55m long-term financing for the five vessels being acquired from Vroon, plus the $35.9m of debt related to Energy Duchess and Energy Empress, by way of a five-year sale and leaseback facility.

The lease amount of $98.55m is supposed to provide funds for around 63% of the seven vessels to be financed under the sale and leaseback facility.

To cover the remaining funds, GEOS said on Monday that it would be seeking to raise up to $30m of new capital to fully fund transactions for all seven vessels.

To that end, the company retained Arctic Securities and Fearnley Securities as joint lead managers to arrange a series of investor meetings starting from September 12 after which an equity private placement may follow.

Oaktree Capital Management, GEOS’ largest shareholder, will subscribe for $12.8m, including conversion of the $3.3m bridge loan facility provided to pay the deposit in August 2023 related to the buy of five Vroon vessels.

In addition to the seven vessels mentioned above, GEOS owns the Energy Swan which is currently financed by a Nordic Bond Loan of NOK 70m ($6.56m).

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