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Rediff News  All News  » Business » Clearwater invests $15m in Dolphin Offshore

Clearwater invests $15m in Dolphin Offshore

February 23, 2006 03:40 IST

Clearwater, a New York-based investment firm, invested $15 million in the Mumbai-based marine operation and construction company Dolphin Offshore Enterprises India through foreign currency convertible bonds.

The FCCBs, if converted, would give Clearwater a 21 per cent stake in the company.

The FCCBs were listed on the Singapore Stock Exchange. Rabo Bank of Singapore arranged the deal, wherein the FCCBs can be converted into equity shares of Rs 450 a share.

Dolphin Offshore Joint Managing Director Satpal Singh declined to comment on the issue. "The company has raised $15 million FCCBs successfully," he said.

According to analysts, Clearwater reserved the option of converting the FCCBs into equity shares. It could also trade the FCCBs on the Singapore exchange. The company has also borrowed over Rs 87 crore from ICICI Bank and UTI for financing its expansion programme.

Dolphin Offshore has issued letter of intent to Bhavnagar-based shipyard Alcock Ashdown (Gujarat) for building of two workboat-cum-supply vessels costing $6.65 million apiece. The vessels would be delivered by September 2007.

Singh said, "There is no immediate plans to offload further stake. We may consider further divestment of shareholding at the next stage of growth."

The offshore activities of Dolphin Offshore, promoted by Rear Admiral Kirpal Singh, includes diving, underwater services (air, mixed gas and saturation diving), fabrication, platform topside installation and marine constructions with rig repair services, Singh added.

The clientele of the company includes ONGC, L&T, IOC, HPCL, SCI, GE Shipping and Coast Guard.

P R Sanjai in Mumbai