Dana Gas PJSC (DANA) plans to pay bondholders about $100 million in cash as part of the $920 million debt restructuring accord the United Arab Emirates company agreed this month, a person familiar with the deal said.
The cash would be paid to holders of the Shariah-compliant notes, or sukuk, once a lockup agreement between Dana Gas and its creditors is signed, likely later this month, according to the person, who asked not to be identified because the information is private. Dana Gas, which didn't pay the $920 million sukuk when they matured at the end of October, said Nov. 7 it had reached a restructuring agreement with its main noteholders including a partial cash payout. A spokeswoman for Dana Gas declined to comment on the restructuring terms.
"It is the best case scenario for sukukholders, apart from getting fully repaid at maturity," Gus Chehayeb, Dubai-based research director for the Middle East and North Africa at investment bank Exotix Ltd., said by phone today.
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