Atlantic Navigation Secures USD 8.5m Loan, Calls off Equity Stake Sale

(Image Courtesy: Offshore Energy Today)

ATLANTIC Navigation Holdings has announced that it has entered into a USD 8.5 million loan agreement, while a deal involving the sale of a substantial equity interest in the company has been called off.

Its wholly owned subsidiary, Atlantic Maritime Group Fze, on March 28, signed a loan agreement with Mubarak Abdullah Al-Suwaiket for the grant of a loan with principal amount of USD 8.5 million.

Atlantic Navigation’s executive chairman and CEO, Wong Siew Cheong, has pledged as security for the loan to the lender, 50 million ordinary shares he held, equivalent to 19.2 per cent of the issued and paid up share capital of the listed group.

Atlantic Navigation has issued a corporate guarantee towards the loan, which is also covered by a second lien on five vessels on the fleet of the listed group.

Separately, a deal calling for the sale of a substantial equity stake in Atlantic Navigation to Gulf Navigation Holding PJSC is no longer on the table. Atlantic Navigation said that discussions pertaining to this stake sale have terminated because the parties involved could not reach an agreement on the definitive terms.

(Source: The Business Times)

Sea News, April 2