6-K 1 v395991_6k.htm FORM 6-K

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 6-K

 

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR

15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934

 

Dated: December 9, 2014

 

Commission File Number 001-32520

 

NEWLEAD HOLDINGS LTD.

(Translation of registrant’s name into English)

 

NewLead Holdings Ltd.

83 Akti Miaouli & Flessa Str.

185 38 Piraeus Greece

(Address of principal executive office)

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

 

Form 20-F  x Form 40-F  ¨

 

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):

 

Yes  ¨ No  x 

 

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):

 

Yes  ¨ No  x 

 

 
 

 

Information Contained in this Current Report on Form 6-K

 

The following tables present the condensed consolidated balance sheets as of June 30, 2014 (unaudited) and December 31, 2013, the unaudited condensed consolidated statements of operations and comprehensive loss for the six months ended June 30, 2014 and June 30, 2013 and the unaudited condensed consolidated statements of cash flows for the six months ended June 30, 2014 and June 30, 2013 of NewLead Holdings Ltd.

 

 
 

 

NEWLEAD HOLDINGS LTD.

CONDENSED CONSOLIDATED BALANCE SHEETS

(All amounts expressed in thousands of U.S. dollars except share amounts)

 

   (unaudited)
As of
June 30,
   As of
December 31,
 
   2014   2013 
ASSETS          
Current assets          
Cash and cash equivalents  $1,729   $2,271 
Trade receivables, net   2,861    3,573 
Promissory Notes   22,500    - 
Other receivables   2,652    3,224 
Due from related parties   5    10 
Due from Joint Ventures   3,520    1,679 
Inventories   963    288 
Prepaid expenses   1,764    888 
Deferred charges, net   667    489 
Total current assets   36,661    12,422 
Non-Current assets          
Restricted cash   183    31 
Advances for acquisition of coal property   21,855    21,855 
Advances for vessel acquisition   41,247    22,747 
Vessels and other fixed assets, net   51,636    35,067 
Property equipement and mine development costs   9,804    10,051 
Owned and leased mineral net of accumulated depletion rights, land and building   20,980    20,977 
Goodwill   28,007    28,007 
Other non-current assets   325    174 
Total non-current assets   174,037    138,909 
Total assets  $210,698   $151,331 
           
LIABILITIES AND SHAREHOLDERS' DEFICIT          
Current liabilities          
Current portion of long-term debt  $59,930   $60,306 
Accounts payable, trade   18,538    21,451 
Accrued liabilities   18,272    15,173 
Share settled debt   2,076    72,595 
Share settled dividend liability on preferred stock   10,582    - 
Convertible notes, net   98,846    101,651 
Capital lease obligations   60    - 
Deferred income   47    - 
Derivative financial instruments   55,623    20,491 
Due to related parties   184    34 
Other current liabilities   17,575    - 
Total current liabilities   281,733    291,701 
Non-current liabilities          
Capital lease obligations   13,671    - 
Asset retirement obligations   1,050    979 
Total non-current liabilities   14,721    979 
Total liabilities   296,454    292,680 
Commitments and contingencies   -    - 
Shareholders' deficit          
Preferred Shares $0.01par value, 500 million shares authorized, 2,250 issued and outstanding as of June 30, 2014   0    - 
Preferred Shares Additional paid-in capital   22,500    - 
Common Shares  $0.01 par value, 1 billion shares authorized, 3.07 million and 0.0013 million shares issued and outstanding as of June 30, 2014 and December 31, 2013, respectively   31    0 
Additional paid-in capital   914,153    833,235 
Accumulated deficit   (1,020,946)   (973,263)
Other comprehensive income   6    34 
Total NewLead Holdings' shareholders' deficit   (84,256)   (139,994)
Noncontrolling interest   (1,500)   (1,355)
Total shareholders' deficit   (85,756)   (141,349)
Total liabilities and shareholders' deficit  $210,698   $151,331 

 

 
 

 

NEWLEAD HOLDINGS LTD.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPRHENSIVE LOSS (unaudited)

(All amounts expressed in thousands of U.S. dollars except share and per share amounts)

 

   (unaudited)
Six months Ended
June 30, 2014
   (unaudited)
Six months Ended
June 30, 2013
 
         
Shipping related  $3,854   $3,296 
Coal related   107    - 
OPERATING REVENUES   3,961    3,296 
EXPENSES:          
Commissions   (817)   (21)
Voyage expenses   (181)   (854)
Vessel operating expenses   (2,070)   (2,878)
Costs of coal sales   (751)   - 
Selling, general and administrative expenses   (30,528)   (49,668)
Depreciation, depletion and amortization expenses   (1,910)   (1,392)
    (36,257)   (54,813)
Operating loss from continuing operations   (32,296)   (51,517)
OTHER (EXPENSES) / INCOME, NET:          
Interest and finance expense   (10,856)   (6,591)
Loss on sale and leaseback transaction   (525)   - 
Interest income   12    - 
Change in fair value of derivatives   (4,744)   - 
Other income / (expense), net   10,318    736 
Total other expenses, net   (5,795)   (5,855)
Loss before equity in net earnings in Joint Ventures   (38,091)   (57,372)
Loss from investments in Joint Ventures   (215)   (1,217)
Loss from continuing operations   (38,306)   (58,589)
Income / (loss) from discontinued operations   239    (8,468)
Net loss   (38,067)   (67,057)
Less: Net loss attributable to the noncontrolling interest   145    678 
Dividends on Preferred Stock   (9,761)   - 
Net loss attributable to NewLead Holdings' Shareholders  $(47,683)  $(66,379)
Loss per share:          
Basic and diluted          
Continuing operations  $(81.88)  $(134,378.44)
Discontinued operations  $0.51   $(19,422.02)
Total  $(81.37)  $(153,800.46)
           
Weighted average number of shares:          
Basic and diluted   467,814    436 
Other comprehensive loss          
Unrealized loss on investments in available for sale securities   (28)   - 
Total other comprehensive loss  $(28)  $- 
Total comprehensive loss attributable to NewLead Holdings' Shareholders  $(47,711)  $(66,379)

 

 
 

 

NEWLEAD HOLDINGS LTD.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited)

(All amounts expressed in thousands of U.S. dollars except share and per share amounts)

 

   Unaudited
Six months Ended
June 30, 2014
   Unaudited
Six months Ended
June 30, 2013
 
         
OPERATING ACTIVITIES:          
Net loss  $(38,067)  $(67,057)
Adjustments to reconcile net loss to net cash used in operating activities:          
Non-cash adjustments          
Depreciation and amortization   1,910    1,392 
Amortization and write-off of deferred financing costs   63    276 
Amortization of the beneficial conversion feature   160    6 
Change in fair value of derivative financial instruments   17,073    (296)
Share-based compensation   22,997    19,647 
Loss on equity settlement   (12,917)   30,690 
Discounts from suppliers   (39)   (210)
Loss on sale of vessels   525    - 
Loss from investments in Joint Ventures   215    1,217 
 Decrease (increase) in:          
-Trade receivables   711    (393)
-Other receivables   545    907 
-Inventories   (675)   (15)
-Prepaid expenses   (120)   (6)
-Due from/to Joint Ventures   (51)   - 
-Due from/to related parties   155    154 
Increase (decrease) in:          
-Accounts payable, trade   1,754    11,125 
-Accrued liabilities   2,867    1,850 
-Deferred income   (103)   (21)
Payments for dry-docking / special survey costs   (39)   - 
Net cash used in operating activities   (3,036)   (734)
INVESTING ACTIVITIES:          
Vessel acquisitions   (18,271)   - 
Advances for vessel acquisition   (925)   - 
Joint Ventures   -    (704)
Coal acquisition   (147)   - 
Other fixed asset acquisitions   (4)   - 
Net cash used in investing activities   (19,347)   (704)
FINANCING ACTIVITIES:          
Principal repayments of long-term debt   (376)   (930)
Proceeds from notes, net   6,482    400 
Proceeds from warrants issuance   -    250 
Proceeds from preference shares   2,500    - 
Restricted cash for debt repayment   (152)   1,311 
Proceeds from the sale and leaseback of vessels   13,875    - 
Capital lease payments   (143)   - 
Dividends paid   (105)   - 
Payments for deferred charges   (240)   - 
Net cash provided by financing activities   21,841    1,031 
Net (decrease) in cash and cash equivalents   (542)   (407)
Cash and cash equivalents          
Beginning of period   2,271    1,043 
End of period  $1,729   $636 

 

 
 

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

Date: December 9, 2014

 

  NEWLEAD HOLDINGS LTD.
     
  By: /s/ Michail Zolotas
  Name: Michail Zolotas
  Title: Chief Executive Officer