NYSE-listed owner and operator of tanker vessels Navios Maritime Acquisition Corporation has agreed to provide a USD 70 million secured loan facility to its parent company, the dry bulk shipping specialist Navios Maritime Holdings Inc.
The loan facility, maturing in November 2018, bears interest of 8.75%, compounded semi-annually and is secured by all of Navios Holdings’ interest in Navios Acquisition, composed of 65,301,220 shares of common stock and 1,000 preferred shares, convertible into 7,676,000 shares of common stock.
The facility is also secured by 78.5% of Navios Holdings’ interest in Navios South American Logistics, Inc. composed of 10,021 shares representing a majority of the shares outstanding of Navios Logistics. Interest will accrue and be payable upon the maturity of the loan. A 1% fee was payable on the closing.
A special committee comprised of independent directors of Navios Acquisition negotiated and approved the terms of the loan facility with the assistance of the special committee’s outside financial and legal advisors.
The special committee determined that the loan facility was fair to Navios Acquisition and in the best interest of the company and its shareholders.