Frontline is now facing the likelihood of insolvency thanks to a $190 million bond coming due in April. With three quarters to go until the note is due, rates would have to average around $40K for VLCC and $34K for Suezmax.
This has not been a good week for Norwegian shipping magnate John Fredriksen. On Wednesday Seadrill Ltd. (NYSE: SDRL), the Fredriksen-controlled offshore drilling firm, posted a solid beat on earnings, but revenues fell short of the consensus estimate ...
Deutsche Bank initiated coverage on Frontline Ltd. (NYSE: FRO) with a Hold rating and a price target of $2.00. Analyst Amit Mehrotra said, "We believe FRO is fundamentally well positioned to benefit from a turn we see coming in the crude tanker market.
In company news, Oil tanker-operator Frontline Ltd. ( FRO ) was in rough waters Thursday after warning investors it may not be able to generate enough cash from operations to repay a $190 million convertible bond loan coming due next April.
Frontline (NYSE:FRO) -6.2% premarket after posting another quarter of losses and declining revenue, while saying it is in a "challenging situation" with $1.03B in debt and lease obligations as of June 30.
Frontline Ltd. (NYSE:FRO) made a new 52-week low of $1.99 in the previous trading session after Clarkson Capital cut its price target for the Bermuda-based shipping company to $2.50 per share, in a research report published on Friday morning.