Genco Shipping & Trading Limited Closes $500 Million Credit Facility
04 12월 2023 - 8:55PM
Genco Shipping & Trading Limited (NYSE:GNK) (“Genco” or the
“Company”), the largest U.S. headquartered drybulk shipowner
focused on the global transportation of commodities, today
announced that it has closed its previously announced $500 million
revolving credit facility.
Key terms of the $500 million revolving credit facility
include:
- Borrowing capacity increased to $500 million
from $344 million, an increase of $156 million or 46%
- 100% revolving credit facility structure
provides flexibility to continue to pay down debt while maintaining
the ability to opportunistically draw down capital
- Competitive pricing with margin grid reduced
to 1.85% to 2.15% + SOFR from 2.15% to 2.75% + SOFR
- Eliminated credit adjustment spread of approximately 0.11%
- Margin grid based on the ratio of total net indebtedness to
EBITDA
- 5-year tenor extends maturity by over two
years from August 2026 to November 2028
- Repayment profile of 20 years
- Quarterly revolver commitment reduction of approximately $15
million per quarter
- Genco will have no mandatory debt repayments until 2028, due to
our reduction in debt outstanding
- Sustainability linked feature with interest
rate increased or decreased by a margin of 0.05% based on our
performance relative to fleet-wide carbon emissions targets
- Favorable covenant package in line with our
prior facility
John C. Wobensmith, Chief Executive
Officer, commented, “We are pleased to close on this new
credit facility and appreciate the continued support of our leading
bank group. The significantly increased lending capacity and full
revolving debt structure are consistent with our focus on further
enhancing our balance sheet and align well with our comprehensive
value strategy. With increased financial flexibility, we expect to
continue to pursue opportunistic growth and further advance our
fleet renewal strategy while remaining on a pathway towards net
debt zero in the medium term. The reduced interest rate pricing and
no mandatory debt repayments until facility maturity in 2028 also
enable us to maintain our industry-low cash flow breakeven rate,
which remains a core differentiator.”
Peter Allen, Chief Financial Officer,
commented, “With this new revolving credit facility we
have increased our borrowing capacity by over $150 million, reduced
interest costs, and extended our maturity profile, which positions
Genco well going forward. Current revolver availability of $290
million provides Genco with significant optionality to grow
accretively, while continuing to delever. Importantly, the 100%
revolving structure augments our flexibility to actively manage our
debt outstanding and reduce interest expense, while maintaining the
same level of borrowing capacity. Once again, we would like to
thank our bank group for their continued support throughout the
course of this transaction.”
Nordea Bank Abp is acting as coordinator,
administrative agent, collateral agent, security trustee, and
sustainability coordinator under the facility. Nordea Bank Abp, New
York Branch, DNB Markets, Inc., Skandinaviska Enskilda Banken AB
(PUBL) and ING Bank N.V., London Branch are mandated lead arrangers
and bookrunners, Crédit Agricole Corporate & Investment Bank is
a mandated lead arranger and First-Citizens Bank & Trust
Company and CTBC Bank Co., Ltd. are co-arrangers.
Following closing of the facility, our debt
outstanding is approximately $210 million and our undrawn revolver
availability is approximately $290 million. Potential uses of the
revolver are to support growth of the Company’s asset base as well
as general corporate purposes. Given the 100% revolver structure,
we plan to actively manage our debt outstanding to reduce interest
expense while also planning to utilize the revolver as a source of
funds to opportunistically acquire tonnage.
About Genco Shipping & Trading
Limited
Genco Shipping & Trading Limited is a U.S.
based drybulk ship owning company focused on the seaborne
transportation of commodities globally. We provide a full-service
logistics solution to our customers utilizing our in-house
commercial operating platform, as we transport key cargoes such as
iron ore, grain, steel products, bauxite, cement, nickel ore among
other commodities along worldwide shipping routes. Our wholly owned
high quality, modern fleet of dry cargo vessels consists of the
larger Capesize (major bulk) and the medium-sized Ultramax and
Supramax vessels (minor bulk) enabling us to carry a wide range of
cargoes. We make capital expenditures from time to time in
connection with vessel acquisitions. As of December 4, 2023, Genco
Shipping & Trading Limited’s fleet consists of 19 Capesize, 15
Ultramax and 12 Supramax vessels with an aggregate capacity of
approximately 4,997,000 dwt and an average age of 11.5 years.
“Safe Harbor” Statement Under the Private
Securities Litigation Reform Act of 1995
This release contains forward-looking statements
made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. Such
forward-looking statements use words such as “anticipate,”
“budget,” “estimate,” “expect,” “project,” “intend,” “plan,”
“believe,” and other words and terms of similar meaning in
connection with a discussion of potential future events,
circumstances or future operating or financial performance.
These forward-looking statements are based on our management’s
current expectations and observations. Included among the
factors that, in our view, could cause actual results to differ
materially from the forward looking statements contained in this
release are the following: (i) the Company’s acquisition or
disposition of vessels; (ii) completion of documentation for vessel
transactions and the performance of the terms thereof by buyers or
sellers of vessels and us; (iii) the fulfillment of conditions
precedent under our $500 million credit facility for borrowings
thereunder; and (iv) other factors listed from time to time in
our filings with the Securities and Exchange Commission, including,
without limitation, our Annual Report on Form 10-K for the year
ended December 31, 2022 and subsequent reports on Form 8-K and Form
10-Q).
CONTACT:Peter AllenChief
Financial OfficerGenco Shipping & Trading Limited(646)
443-8550
Genco Shipping and Trading (NYSE:GNK)
과거 데이터 주식 차트
부터 4월(4) 2024 으로 5월(5) 2024
Genco Shipping and Trading (NYSE:GNK)
과거 데이터 주식 차트
부터 5월(5) 2023 으로 5월(5) 2024