Eagle Bulk Nabs USD 208 Mn Loan

usdIllustration. Image Courtesy: Pixabay under CC0 Creative Commons license

Connecticut-based bulker owner and operator Eagle Bulk Shipping received a loan commitment from a consortium of banks for a new five-year senior secured facility worth USD 208 million.

The loan, secured by the company’s wholly-owned subsidiary Eagle Bulk Ultraco LLC, bears an interest rate of LIBOR plus 2.50% and matures in 2024.

The facility will include a term loan equating to approximately USD 153 million and a revolving credit facility of USD 55 million.

The loan will be used to refinance the existing debt of Eagle Bulk Ultraco LLC and Eagle Shipping LLC, as well as for general corporate purposes, including capital expenditures relating to the installation of scrubbers.

Eagle Bulk had entered into a deal for up to 37 scrubbers intended for retrofits, comprised of firm orders for 19 scrubbers and up to 18 optional units. In November 2018, the company exercised options to purchase 15 additional exhaust gas cleaning systems.

Upon the repayment of the refinanced debt, Eagle Bulk expects to achieve around USD 65 million of incremental liquidity.

Financing for the facility will be provided by ABN AMRO, Credit Agricole Corporate and Investment Bank, Skandinaviska Enskilda Banken AB, DNB Bank ASA, Danish Ship Finance, and Nordea.

The loan is expected to close by the end of this month, subject to the negotiation and execution of customary definitive documentation and satisfaction of certain closing conditions.

Eagle Bulk added that the loan may be increased by up to an additional USD 60 million for the acquisition of additional vessels, subject to undisclosed conditions.

Share this article

Follow World Maritime News

In Depth>

Events>

<< Aug 2019 >>
MTWTFSS
29 30 31 1 2 3 4
5 6 7 8 9 10 11
12 13 14 15 16 17 18
19 20 21 22 23 24 25
26 27 28 29 30 31 1

World Gas Series: Morocco Summit

Bringing together key players in the gas value chain in Morocco, the World Gas Series:

read more >

GreenTech in Shipping USA Forum 2019

GreenTech in Shipping USA Forum is an event for Maritime leaders who want to unlock successful business formula of the industry!

read more >

Shipping Transformation Asia

Shipping Transformation Asia will provide a platform for future-focused discussion in the shipping,…

read more >

Global Sustainable Shipping Forum 2019

The event will provide valuable insights from conference sessions, great networking opportunities and will offer…

read more >