- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Thursday, 03 May 2018
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Current Status:
Answered by Keith Brown on 18 May 2018
To ask the Scottish Government, in light of the conversion of its loan to Burntisland Fabrications into an equity stake, whether it has secured any preferential (a) entitlement to dividends, (b) rights in the event that the company winds up and (c) limited voting rights.
Answer
As I disclosed to the Scottish Parliament on 18 April 2018, the Scottish Government has extended the loan facility made available to BiFab, to enable completion of contracts associated with the Beatrice offshore wind farm. Debt under the loan will be converted to a minority equity stake in the company. The extent of the shareholding will be determined by the extent to which the loan facility is drawn down in completing the BOWL contracts. The shareholding will not exceed 38%. The details of the loan facility, including repayment and conversion rates, are commercially confidential. The Scottish Government does not have representation on the BiFab board. The Scottish Government is actively managing its shareholding through a close working relationship with the company.
The Scottish Government did take independent advice on the transaction, including in relation to State Aid. The loan facility has been provided on a commercial basis.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Thursday, 03 May 2018
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Current Status:
Answered by Keith Brown on 18 May 2018
To ask the Scottish Government whether it has appointed a private equity manager for its equity stake in Burntisland Fabrications.
Answer
As I disclosed to the Scottish Parliament on 18 April 2018, the Scottish Government has extended the loan facility made available to BiFab, to enable completion of contracts associated with the Beatrice offshore wind farm. Debt under the loan will be converted to a minority equity stake in the company. The extent of the shareholding will be determined by the extent to which the loan facility is drawn down in completing the BOWL contracts. The shareholding will not exceed 38%. The details of the loan facility, including repayment and conversion rates, are commercially confidential. The Scottish Government does not have representation on the BiFab board. The Scottish Government is actively managing its shareholding through a close working relationship with the company.
The Scottish Government did take independent advice on the transaction, including in relation to State Aid. The loan facility has been provided on a commercial basis.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Thursday, 03 May 2018
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Current Status:
Answered by Keith Brown on 18 May 2018
To ask the Scottish Government how much lending in total is available for Burntisland Fabrications.
Answer
As I disclosed to the Scottish Parliament on 18 April 2018, the Scottish Government has expanded the loan facility made available to BiFab to enable completion of the BOWL contract and convert that loan to a minority equity stake in the new company.
The extent of that shareholding will be determined by the extent to which the loan facility is utilised in completing the BOWL contract. As previously stated, the shareholding will not exceed 38%.
In addition we will make available a commercial loan to support DF Barnes during this transition.
The Scottish Government sought independent legal and financial advice throughout this process, the details of which are commercially confidential.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Thursday, 03 May 2018
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Current Status:
Answered by Keith Brown on 18 May 2018
To ask the Scottish Government what its shareholding is in Burntisland Fabrications, also expressed as a percentage.
Answer
As I disclosed to the Scottish Parliament on 18 April 2018, the Scottish Government has expanded the loan facility made available to BiFab to enable completion of the BOWL contract and convert that loan to a minority equity stake in the new company.
The extent of that shareholding will be determined by the extent to which the loan facility is utilised in completing the BOWL contract. As previously stated, the shareholding will not exceed 38%.
In addition we will make available a commercial loan to support DF Barnes during this transition.
The Scottish Government sought independent legal and financial advice throughout this process, the details of which are commercially confidential.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Thursday, 03 May 2018
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Current Status:
Answered by Keith Brown on 18 May 2018
To ask the Scottish Government what the repayment plan is for its loan to Burntisland Fabrications, including the timetable and amounts to be repaid.
Answer
As I disclosed to the Scottish Parliament on 18 April 2018, the Scottish Government has extended the loan facility made available to BiFab, to enable completion of contracts associated with the Beatrice offshore wind farm. Debt under the loan will be converted to a minority equity stake in the company. The extent of the shareholding will be determined by the extent to which the loan facility is drawn down in completing the BOWL contracts. The shareholding will not exceed 38%. The details of the loan facility, including repayment and conversion rates, are commercially confidential. The Scottish Government does not have representation on the BiFab board. The Scottish Government is actively managing its shareholding through a close working relationship with the company.
The Scottish Government did take independent advice on the transaction, including in relation to State Aid. The loan facility has been provided on a commercial basis.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Thursday, 03 May 2018
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Current Status:
Answered by Keith Brown on 18 May 2018
To ask the Scottish Government whether it has (a) taken advice on state aid rules and (b) consulted the European Commission regarding its equity stake in Burntisland Fabrications.
Answer
As I disclosed to the Scottish Parliament on 18 April 2018, the Scottish Government has extended the loan facility made available to BiFab, to enable completion of contracts associated with the Beatrice offshore wind farm. Debt under the loan will be converted to a minority equity stake in the company. The extent of the shareholding will be determined by the extent to which the loan facility is drawn down in completing the BOWL contracts. The shareholding will not exceed 38%. The details of the loan facility, including repayment and conversion rates, are commercially confidential. The Scottish Government does not have representation on the BiFab board. The Scottish Government is actively managing its shareholding through a close working relationship with the company.
The Scottish Government did take independent advice on the transaction, including in relation to State Aid. The loan facility has been provided on a commercial basis.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Thursday, 03 May 2018
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Current Status:
Answered by Keith Brown on 18 May 2018
To ask the Scottish Government what due diligence was undertaken regarding its equity stake in Burntisland Fabrications, and who carried it out.
Answer
As I disclosed to the Scottish Parliament on 18 April 2018, the Scottish Government has expanded the loan facility made available to BiFab to enable completion of the BOWL contract and convert that loan to a minority equity stake in the new company.
The extent of that shareholding will be determined by the extent to which the loan facility is utilised in completing the BOWL contract. As previously stated, the shareholding will not exceed 38%.
In addition we will make available a commercial loan to support DF Barnes during this transition.
The Scottish Government sought independent legal and financial advice throughout this process, the details of which are commercially confidential.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Thursday, 03 May 2018
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Current Status:
Answered by Keith Brown on 18 May 2018
To ask the Scottish Government what legal advice it sought regarding the conversion of its loan to Burntisland Fabrications into an equity stake, and who provided the advice.
Answer
As I disclosed to the Scottish Parliament on 18 April 2018, the Scottish Government has expanded the loan facility made available to BiFab to enable completion of the BOWL contract and convert that loan to a minority equity stake in the new company.
The extent of that shareholding will be determined by the extent to which the loan facility is utilised in completing the BOWL contract. As previously stated, the shareholding will not exceed 38%.
In addition we will make available a commercial loan to support DF Barnes during this transition.
The Scottish Government sought independent legal and financial advice throughout this process, the details of which are commercially confidential.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Thursday, 03 May 2018
-
Current Status:
Answered by Keith Brown on 18 May 2018
To ask the Scottish Government what will happen to its equity stake in Burntisland Fabrications as the converted loan is repaid.
Answer
As I disclosed to the Scottish Parliament on 18 April 2018, the Scottish Government has extended the loan facility made available to BiFab, to enable completion of contracts associated with the Beatrice offshore wind farm. Debt under the loan will be converted to a minority equity stake in the company. The extent of the shareholding will be determined by the extent to which the loan facility is drawn down in completing the BOWL contracts. The shareholding will not exceed 38%. The details of the loan facility, including repayment and conversion rates, are commercially confidential. The Scottish Government does not have representation on the BiFab board. The Scottish Government is actively managing its shareholding through a close working relationship with the company.
The Scottish Government did take independent advice on the transaction, including in relation to State Aid. The loan facility has been provided on a commercial basis.
- Asked by: Jackie Baillie, MSP for Dumbarton, Scottish Labour
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Date lodged: Thursday, 03 May 2018
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Current Status:
Answered by Keith Brown on 18 May 2018
To ask the Scottish Government what the expected return is on its equity stake in Burntisland Fabrications.
Answer
As I disclosed to the Scottish Parliament on 18 April 2018, the Scottish Government has extended the loan facility made available to BiFab, to enable completion of contracts associated with the Beatrice offshore wind farm. Debt under the loan will be converted to a minority equity stake in the company. The extent of the shareholding will be determined by the extent to which the loan facility is drawn down in completing the BOWL contracts. The shareholding will not exceed 38%. The details of the loan facility, including repayment and conversion rates, are commercially confidential. The Scottish Government does not have representation on the BiFab board. The Scottish Government is actively managing its shareholding through a close working relationship with the company.
The Scottish Government did take independent advice on the transaction, including in relation to State Aid. The loan facility has been provided on a commercial basis.
