Dry bulk shipping company Genco Shipping & Trading Limited has taken delivery of two Capezise vessels and entered into a new, five-year credit facility.
The vessels in question are Genco Endeavour and Genco Resolute and both of them are 2015-built 180,000 dwt bulkers.
Genco Endeavour and Genco Resolute are the second and third of six vessels to be delivered to Genco as part of its recent agreements to acquire six fuel-efficient Capesize and Ultramax vessels.
As explained, the acquisitions, together with the recent or expected sale of three older vessels, are expected to reduce the average age of the company’s fleet by more than one year and increase overall carrying capacity to approximately 5.4 million dwt. The remaining three vessels are expected to be delivered to Genco in the third quarter of 2018.
What is more, Genco entered into a previously announced five-year senior secured credit facility in an aggregate principal amount of up to USD 108 million. Genco anticipates drawing down USD 51.75 million on or about August 17, 2018, to partially finance the three vessels delivered to date, namely the Genco Endeavour, Genco Resolute and Genco Weatherly.
Furthermore, Genco anticipates additional drawings under this credit facility to finance a portion of the purchase price of the remaining three vessels the company has agreed to acquire. Genco expects that borrowings under this credit facility, when combined with borrowings under the company’s USD 460 million credit facility closed in June 2018, will lower its weighted average cost of debt by 100 basis points compared to its previous credit facility structure.
As of August 15, 2018, Genco Shipping & Trading Limited’s fleet consists of fifteen Capesize, five Panamax, five Ultramax, 21 Supramax, one Handymax and fifteen Handysize vessels with an aggregate capacity of approximately 5,039,000 dwt.