MPF Completes Issuance of $75 Million Convertible Bond

MPF Corp. Ltd announced that it has completed a USD 75 million Convertible Bond Issue. The private placement was managed by Pareto Securities AS and Deutsche Bank AG. The Convertible Bonds will have a coupon of 10 % p.a. and a conversion price of NOK 21 per share (converted into USD at NOK 5.1274 per USD ). Settlement Date for the transaction is expected 8 May 2008.

Following the recently announced employment contract to Petrobras, MPF Corp has had discussions with its Financial Advisors and Bankers. Based on this, indications have been received indicating that bank financing in an amount of around USD 400 million will be available until delivery of the MPF- 01. Following delivery it is expected that up to USD 600 million will be available in bank financing, however dependent on whether the final contract with Petrobras will be of 3 or 5 years duration. The Convertible Bond Issue will be an integral part in ensuring that the MPF-01 project becomes fully financed.

The Company has previously also announced that it will seek to amend certain terms under the outstanding 2nd lien bond issue (FRN MPF Corp Ltd Secured Bond Issue 2006/11) in order to facilitate a refinancing of its current construction loan facility with DvB Group Merchant Bank (Asia) Ltd.


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