Dolphin Group warned Wednesday that it’s facing insolvency if it fails to reach a restructuring agreement with its main stakeholders.
The company said it’s working closely with its advisers on various proposals, but it has yet to reach an agreement with its main stakeholders that will allow it to successfully complete a restructuring.
“Without a firm solution accepted by the group’s main stakeholders, and in light of its financial situation, the board of directors of the company is of the opinion that the group’s current business cannot be continued as it is currently carried out,” Dolphin said.
Dolphin said that if it can not reach a “sufficiently acceptable solution” with the shareholders the company “will have no choice but to file for insolvent liquidation of the company.”
Norway-based Dolphin Group is the parent company of Dolphin Geophysical AS, a global full-range, asset light supplier of marine geophysical services.
Dolphin operates a fleet of new generation, high-capacity seismic vessels and offers contract seismic surveys, multi-client projects and processing services on a worldwide basis.
Dolphin Group’s third quarter revenues fell to $78.7 million, down from $128.5 million in the year ago quarter, and the company took a $16.3 million vessel fleet and organizational re-structuring charge.
The company’s third quarter EBITDA slid down to $18.4 million compared to $38.2 million in the same quarter last year.