Scorpio Bulkers Inc. has received a commitment for a $67.5 million Loan Facility and agreed to time charter-in five dry bulk vessels.
$67.5 million Loan Facility
On February 25, 2014, the Company received a commitment from a leading European financial institution for a Loan Facility of up to $67.5 million. The Facility will be used to finance up to 60% of the purchase price upon delivery of two Ultramax and two Kamsarmax vessels currently under construction. The Loan Facility has a final maturity of seven years from the date of delivery of each vessel. The terms and conditions of this commitment are consistent with those of the Company’s existing credit commitments. The closing of the Loan Facility remains subject to customary conditions precedent, including negotiation and execution of final documentation.
Time charter-in agreements
The terms of the five time charter-in contracts are summarized as follows:
Emanuele Lauro, Chairman and Chief Executive Officer , commented, “We continue to make significant progress in the execution of our business plan. First and foremost, we are pleased to have received a commitment for an additional credit facility, and we expect to announce additional financings over the next two quarters to continue towards our objective of fully financing our fleet within 2014. In addition, we are excited to announce additional charter-in agreements, reflecting our continued belief in attractive fundamentals in the dry bulk market.”
Scorpio Bulkers, March 3, 2014