Navios Holdings Nets USD 50 Mln Loan
- Business & Finance
Navios Maritime Acquisition Corporation has provided a revolving loan facility of up to USD 50 million to dry bulk shipping company Navios Maritime Holdings Inc.
The revolver is due to be repaid by Navios Holdings on December 31, 2018, and has an interest rate based on LIBOR plus of 3% per annum.
The loan is expected to be used for general purposes.
The revolver will be guaranteed by Navios Holdings Europe Finance, a wholly owned subsidiary of Navios Holdings.
Navios Maritime Holdings reported USD 480.8 million in revenue for 2015 and USD 111.7 million revenue for Q4. The company said that it had USD 176.9 million of cash at the end of 2015 at its disposal, adding that it has a strong balance sheet and was positioned to weather a record difficult market.
“In light of the prolonged market weakness, we have adopted measures to reduce our cash requirements, without having to sell off assets and while honoring our obligations. We have resourcefully established cash flow needed in the medium term to sustain the company until charter rates improve,” said Angeliki Frangou, Chairman and Chief Executive Officer, commenting on the results.