Business Context and Reporting Period
This Form 6-K filing by Ship Finance International Limited (SFL Corp Ltd.) covers the month of March 2018, with the report dated March 16, 2018. The filing serves to disclose a corporate action regarding the Company's outstanding debt instruments.
Key Financial Metrics
The filing does not provide comprehensive financial statements, revenue, profit, cash flow, or liquidity metrics. The only specific financial data disclosed relates to the Company's debt structure and a recent dividend declaration:
- Outstanding Debt: Senior Unsecured Convertible Notes with an issue amount of USD 225,000,000.
- Debt Terms: Issued on October 5, 2016, maturing on October 15, 2021, with a coupon rate of 5.75%.
- Dividend: A dividend of USD 0.35 per share was declared, with shares trading ex-dividend on the NYSE as of March 16, 2018.
Material Changes
The primary material change reported is the adjustment of the conversion price for the Company's outstanding convertible notes. This adjustment was executed pursuant to the relevant loan agreement as a direct consequence of the declared dividend. The conversion rate was adjusted to 60.5739 as of March 16, 2018.
Guidance, Outlook, and Risks
The filing contains no management commentary, forward-looking guidance, or discussion of general business risks. The document notes a specific contingency regarding the conversion rate adjustment: the new rate is subject to consent by the trustee.
Investor Verification Checklist
- Verify the final approval of the adjusted conversion rate (60.5739) by the trustee.
- Confirm the impact of the USD 0.35 per share dividend on the Company's cash reserves and future liquidity.
- Review the full terms of the Senior Unsecured Convertible Notes to understand the mechanics of future conversion price adjustments.