Songa Bulk ASA is considering a tap issue after which it will direct the net proceeds to acquire more dry bulk vessels.
The Norway-based shipping company is targeting USD 18 million in the senior secured bond Songa Bulk ASA 17/22 FRN USD C, with a maturity on June 13, 2022. At present, the borrowing limit is USD 150 million and the outstanding amount is USD 120 million.
The company has said that it will not carry additional tap issues if this is successful. The company is also in the process of disposing one of its Supramax vessels and the sales proceeds will be used for further vessel acquisitions.