Business Context and Reporting Period
This Form 6-K filing by Ship Finance International Limited (SFL Corp Ltd.) covers the month of June 2018, with the report signed on June 26, 2018. The filing serves to disclose a material event regarding the adjustment of conversion prices for the Company's outstanding convertible notes.
Key Financial Metrics
The filing does not provide standard financial performance metrics such as revenue, profit, cash flow, margins, or liquidity ratios. The document focuses exclusively on debt instrument terms.
| Instrument | Issue Amount | Coupon | Maturity | Adjusted Conversion Rate |
|---|---|---|---|---|
| Senior Unsecured Convertible Notes (2018) | USD 164,000,000 | 4.875% | May 1, 2023 | 54.0658 |
| Senior Unsecured Convertible Notes (2016) | USD 225,000,000 | 5.75% | October 15, 2021 | 61.0872 |
Material Changes
The primary material change is the adjustment of the conversion rates for two series of Senior Unsecured Convertible Notes. This adjustment was triggered by the Company's declaration of a dividend of USD 0.35 per share, with shares trading ex-dividend on the New York Stock Exchange as of June 14, 2018. The adjustments were made pursuant to the relevant loan agreements.
Outlook, Risks, and Contingencies
The filing notes that the adjusted conversion rates are subject to consent by the trustee. No forward-looking guidance, management commentary on future operations, or discussion of general business risks is included in this specific report.
Investor Verification Checklist
- Verify the final consent of the trustee regarding the adjusted conversion rates.
- Confirm the exact ex-dividend date and the impact of the USD 0.35 dividend on shareholder equity.
- Review the full loan agreements to understand the specific mechanics of the conversion price adjustment formula.
- Check subsequent filings for any further adjustments or changes to the debt structure.