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| Share Name | Share Symbol | Market | Stock Type |
|---|---|---|---|
| Petrofac Limited | PFC | London | Ordinary Share |
| Price Change | Price Change % | Share Price | Last Trade
|
|
|---|---|---|---|---|
| -0.05 | -0.46% | 10.77 | 10:50:24 |
| Open Price | Low Price | High Price | Close Price | Previous Close |
|---|---|---|---|---|
| 10.70 | 10.70 | 10.80 | 10.82 |
| Industry Sector |
|---|
| OIL EQUIPMENT SERVICES & DISTRIBUTION |
| Top Posts |
|---|
Posted at 11/10/2024 18:37 by bones698 Game over here for investors the writing is on the wall and pis will get wiped out when funding arrives . Probably 5% . Should have bailed when had the chance . Those left in now will lose more |
Posted at 30/9/2024 09:32 by halfpenny Lots more to lose as investors are hit.A disaster with more Fffaaalllsss 6p |
Posted at 28/7/2024 12:49 by mirabeau Petrofac Share Price Soars, Shorts Scramble to Cover PositionsBy Bryan Hardy / July 28, 2024 Embattled oil services firm Petrofac’s rapid surge in share price on Friday, up more than 70%, has added pressure on shorts to close their positions, with markets set to watch the opening on Monday for signs of a renewed squeeze. The stock has been one of the most shorted on the London Stock Exchange (LSE) but shorts are now in retreat with total positions now falling below 10%. Positive news regarding the company’s contractual and financial positions late on Friday spurred a a rapid increase within the last 30 minutes of trading. The stock closed at 22 pence as a result, a remarkable rise from the 12.6 pence near the start of the day. Contractual Relief and New Agreement Petrofac announced on Friday that it had reached an alternative agreement with a key Engineering, Procurement, and Construction (EPC) customer, pertaining to performance guarantee requirements, effectively curing a default notice received from the customer. The default notice had necessitated a performance guarantee to be posted by June 16, 2024, as stated in Petrofac’s 2023 accounts. Impact on Short Positions Petrofac stock has been heavily shorted throughout the month, following the delisting of shares from the London Stock Exchange, however Friday’s rally will have forced several short sellers to reconsider their positions, adding further upward pressure on the price. With the share price threatening serious losses for remaining short positions, Monday’s trading is expected to see a scramble among short sellers to close out their positions, potentially driving the price even higher. While further challenges lie ahead for the firm’s strategic outlook, the latest resolution clearly instilled confidence in investors about Petrofac’s ability to navigate its contractual obligations successfully, signalling support for ongoing operational activities and potential future revenue streams. Extension of Forbearance Agreement Petrofac has now extended its existing forbearance agreement concerning the non-payment of interest on its senior secured notes. Originally set to expire on July 25, 2024, the forbearance has now been extended to August 23, 2024. This agreement involves an ad hoc group of noteholders representing approximately 47% of the outstanding senior secured notes, along with certain other noteholders. The extension provides Petrofac with crucial breathing room to advance its financial restructuring efforts without the immediate threat of noteholder action. This assurance is pivotal for the company’s ongoing efforts to stabilize its financial position and negotiate better terms for its obligations. Petrofac’s recent developments point to a more stabilized outlook for the company. The resolution of the performance guarantee issue and the extension of the forbearance agreement are crucial steps in mitigating immediate risks and providing a clearer path forward for financial restructuring. Investors will be keenly watching Monday’s trading as the stock reacts to these positive signals and the potential further covering of short positions. The combination of contractual relief, financial restructuring progress, and the resultant short squeeze creates a strong upside potential for Petrofac’s share price. As the company continues to address its challenges head-on, the market sentiment may shift positively, reflecting growing confidence in Petrofac’s turnaround efforts |
Posted at 26/6/2024 07:41 by halfpenny Many NORTH SEA Decommissioning Contracts Awarded to Other Companies.!!! Proving they have No Future...OH! Dear Falling like a Stone or Lead Ballon ..!!! Petrofac has failed to generate a concrete plan to restructure the business and shore up the balance sheet,” Hargreaves Lansdown said in a note to investors. “As a result there are now pressing concerns about the company’s ability to survive. Even if the situation is resolved, paying its lenders in shares rather than cash is a distinct possibility. That would mean investors’ ownership of the company would be SIGNIFICANTLY DILUTED". !! Humpty DUMPty Falls How Low How Soon. RISKY!! AMEN !! |
Posted at 24/6/2024 06:24 by halfpenny Top Broker Hargreaves Lansdown show negative future!OH! Dear Falling like a Stone or Lead Ballon ..!!! Petrofac has failed to generate a concrete plan to restructure the business and shore up the balance sheet,” Hargreaves Lansdown said in a note to investors. “As a result there are now pressing concerns about the company’s ability to survive. Even if the situation is resolved, paying its lenders in shares rather than cash is a distinct possibility. That would mean investors’ ownership of the company would be SIGNIFICANTLY DILUTED". !! Humpty DUMPty Falls How Low How Soon. RISKY!! AMEN !! |
Posted at 22/6/2024 12:27 by halfpenny OH! Dear Falling like a Stone or Lead Ballon ..!!!Petrofac has failed to generate a concrete plan to restructure the business and shore up the balance sheet,” Hargreaves Lansdown said in a note to investors. “As a result there are now pressing concerns about the company’s ability to survive. Even if the situation is resolved, paying its lenders in shares rather than cash is a distinct possibility. That would mean investors’ ownership of the company would be significantly diluted.” Humpty DUMPty Falls How Low How Soon. RISKY |
Posted at 10/6/2024 06:38 by midasx By Daniel Hill / June 7, 2024Leading oilfield services provider Petrofac has seen a significant surge in its share price today, up over 21%, driven by an uptick in investor confidence, as rumours of a takeover mount. Industry insiders suggest that a substantial offer is on the horizon, with a prospective price of around £1 per share, as several major players are believed to be in the running for acquiring Petrofac. Among the contender are Schlumberger and Halliburton, both of which are global giants in the oilfield services industry. Acquiring Petrofac could strategically enhance their service portfolios and expand their market reach. The news comes as Petrofac is reportedly close to agreement with noteholders, marking a significant milestone for the company as it seeks to stabilise finances and double down on growth, following a rollercoaster year. The firm recently published its accounts for 2023 and confirmed a net debt of US$583 million, with losses for the year totalling US$506 million. However, the company’s revenues remained relatively steady, coming in at US$2.49 billion. While the accounts included a going concern warning, highlighting the company’s previously precarious financial situation, Petrofac’s recent agreement with noteholders has begun to solidify its financial footing. The company, which was in default of interest under the terms of its senior secured notes, has now entered into a forbearance agreement with an ad hoc group of noteholders. This group, which represents approximately 41% of the outstanding senior secured notes, has agreed not to take enforcement action in respect of the non-payment of the coupon until at least 30 June. Petrofac’s projections for the future are promising, with the company expecting to maintain liquidity at or above its covenant level until at least the end of September 2024. This, coupled with the company’s steady revenues and the positive impact of the new agreement, paints an optimistic picture for investors. Building on this potential suitors are now reported to be circling, with TechnipFMC, a leader in subsea, onshore/offshore, and surface projects, also in the running, with interest in Petrofac’s engineering and construction services highly complementary to its existing operations. National oil companies such as Saudi Aramco and ADNOC (Abu Dhabi National Oil Company) are also speculated to be eyeing Petrofac. These state-owned enterprises have been actively expanding their oilfield service capabilities and could see significant synergies with Petrofac’s expertise. Private equity firms, including Carlyle Group and Blackstone Group, are known for their substantial investments in the energy sector and might view Petrofac as a valuable addition to their portfolios. Their interest could drive the competitive nature of the bid process, potentially leading to a premium offer. Additionally, international conglomerates such as Mitsubishi Corporation and Siemens Energy have been mentioned as possible bidders. Their diversified interests and strategic goals in the energy sector make Petrofac an attractive acquisition target. Regional competitors like Wood Group and Lamprell might also be considering a strategic takeover to consolidate market share and enhance their service offerings. While the exact details of the potential bid remain undisclosed, the surge in Petrofac’s share price reflects growing optimism and anticipation among investors. The coming days will be crucial as the market awaits further developments and official announcements. For now, Petrofac continues to be a focal point in the oilfield services sector, with its future potentially reshaped by this significant takeover speculation. |
Posted at 18/4/2024 09:00 by loglorry1 "Why on earth can't they do an RI to raise 200m, half of which goes to buy back bonds like Tullow did"Because the market cap is 118m so they'd need equity investors to nearly treble their cash exposure to PFC shares. It is in theory possible via some sort of deeply discounted rights issue at say 5p but in practice it won't work because the shares are mostly held by private investors now who would have to put in far too much money. Since institutional investors see the equity as worthless cf. bond price then they won't put more capital in. Furthermore, £200m doesn't buy back much of the $600m bonds even at a discount and they also need to pay off the banks to the tune of $252m. Furthermore, they need working capital of 200-400m on top. Furthermore, TLW didn't do a rights issue they raised debt at 15%. They are throwing off loads of cashflow too so its not remotely the same. Do you see just how hopeless it is? |
Posted at 15/4/2024 12:21 by jaknife Armbar,"It did not say it revolves around a D4E but an option, engaged and in discussions , it is also in discussions with potential investors and main shareholders Honestly I give up people add words , But IF it happens and it is D4E 20p or 22p, You may say told you so, in reality if this happens you were 400% out , stated 4p for months , breaking covenants etc if you are right I will be the first to say well called but I have a differing opinion to the outcome." FFS, read the words! From the RNS: ==================== The Company has engaged and remains in discussions with its lenders to restructure its debt which would result in a significant proportion of the debt being exchanged for equity in the business. It also continues to be in discussion with prospective investors and certain major shareholders in relation to potential further investment in the Company and remains in negotiations with prospective purchasers regarding the sale of non-core assets, as set out in recent announcements. All options remain under consideration. ==================== This splits into two separate parts: A. "The Company has engaged and remains in discussions with its lenders to restructure its debt which would result in a significant proportion of the debt being exchanged for equity in the business." There will be a debt for equity swap. B. "It also continues to be in discussion with prospective investors and certain major shareholders in relation to potential further investment in the Company and remains in negotiations with prospective purchasers regarding the sale of non-core assets, as set out in recent announcements. All options remain under consideration. In addition to the D4E swap Petrofac is also investigating ways to raise additional funds. You are deluding yourself with your attempts to make the situation look better that it is. Petrofac is Petrofacked! "Going round in circles, If you have the bond clauses please share i doubt you have them but I maybe wrong happy to be wrong if you have them" Contact the IR dept, they will ask you to sign an NDA and then give you the bond terms. JakNife |
Posted at 12/4/2024 08:59 by jaknife dealy,"JK, normally I would agree with your assessment, but there is, imo, one element that makes this case slightly less fatal, namely a strong order backlog and pipeline. That creates room for alternative financing to take place." I struggle to remember the times when you've vocally agreed with me here but I am getting old, perhaps it's my poor memory? I would agree with your assessment that PFC's "strong order backlog and pipeline" mean that the D4E swap shouldn't be fatal. But beyond that I don't understand what "alternative financing" you're expecting? There's going to be a D4E swap! The relevant question is "at what price?" When it comes to Petrofac's "strong order backlog and pipeline" I will make the same points that I've been making for months now: * PFC has always had a large order book but the margins have been trivial and because of numerous problems actually they've lost money repeatedly. * Over the last nine years PFC has lost over $1bn! * Despite a large advance order book Petrofac is still forecast to make a loss in 2024! The "strong order backlog and pipeline" mean that there should be interest and support for a fund raise but it doesn't mean that new investors are going to put that money in at a generous level. The phrase that applies here is: New investors dictate terms to old investors I'm really sorry but current shareholders are going to be materially diluted. JakNife |
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