Gener8 Maritime Changes Loan Terms to Finance Two Newbuilds
US-based Gener8 Maritime has entered into an amendment to an existing senior secured credit facility to finance the delivery of the Chiotis and the Miltiades, the last two ECO VLCC newbuild vessels to be delivered from China’s Shanghai Waigaoqiao Shipbuilding (SWS).
“Following this amendment, we have secured requisite debt financing to fund our newbuilding program,” Leo Vrondissis, Gener8 Maritime’s Chief Financial Officer, said.
The amended facility deal provides for up to USD 385.2 million in debt financing, with export credit insurance support from Sinosure, and carries a margin over LIBOR of 2.0% and a 15 year amortization profile.
The company said that, pursuant to the amendment, the debt financing will be secured by six Gener8 Maritime VLCC newbuildings built at SWS.
“We have benefited from our broad relationships within the lending community as well as our strong financial profile, both of which have allowed Gener8 Maritime to access in excess of USD 2 billion in capital over the past year,” Vrondissis said.
With the company’s latest addition of a ECO VLCC, the Gener8 Constantine, Gener8 Maritime has a fleet of 45 wholly-owned vessels comprised of 28 VLCCs, including 10 newbuilds, 11 Suezmaxes, four Aframaxes, and two Panamax tankers.
Built by South Korean shipbuilder Hyundai Samho Heavy Industries, the 299,019 dwt Gener8 Constantine entered Navig8 Group’s VL8 Pool upon delivery.