Noreco Offers Bondholders Shares

Norwegian Energy Company ASA, Noreco, offered all 6% Noreco convertible bondholders to convert their bonds to shares whereby accepting bondholders will receive a fixed premium of 7.0% to par value plus accrued interest in cash.

 Noreco will ensure issuance and registration of the new shares as fast as practically possible after closing the offer. Noreco has received pre-acceptances from bondholders representing NOK162 million of the outstanding NOK 430 million in bonds.
This offer forms part of Noreco's continued efforts to optimize it's capital structure. Conversion of the bonds will increase Noreco's market capitalization, reduce debt and reduce future interest costs. Furthermore, Noreco has experienced a strong increase in its shares' liquidity since the private placement in April and conversion of the
bonds is expected to further support this trend.