Refinancing deal relief for Orbital

Loss-making Orbital Engine Corp has removed one of the burdens hanging over the notoriously volatile stock by refinancing its Synerject joint venture with Siemens-VDO Automotive Corporation.

The fuel injection technology company said on Friday that it had reached an agreement on a restructuring of Synerject, thereby removing a potential obligation for it to have to pay out Siemens up to $US12.5million ($21.6million). Under the original funding deal, which matured last September 30, Orbital was the guarantor to some $US12.5million owed by Synerject to Siemens.