USD 460 Million Loan Secured by Capital Product Partners

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Image Courtesy: Capital Ship Management

Capital Product Partners, a Greek-based shipping company has secured a USD 460 million load for refinancing some of its credit facilities.

Capital Product Partners entered into a firm offer letter for the loan facility with HSH Nordbank and ING Bank as mandated lead arrangers and bookrunners and BNP Paribas and National Bank of Greece S.A. as arrangers in May this year. Among the lenders are Alpha Bank S.A., Piraeus Bank S.A. and Skandinaviska Enskilda Banken AB (Publ).

According to the company, the net proceeds of the loans, together with available cash of USD 120.6 million, will be directed towards refinancing four out of five of its existing credit facilities amounting to a total of USD 580.6 million. However, the closing of the credit facility, which has a six year maturity from drawdown, is subject to finalization of the long form loan documentation.

 

The loan is comprised of two tranches, one part amounts to the lower of USD 259 million and 57.5% of the value of 11 of the company’s vessels with an average age of 3 years. The second amounts to the lower of USD 201 million and 57.5% of the value of 24 of its vessels with an average age of 10.3 years.