Nordic American Tankers Abandons Bond Offering
- Business & Finance
Bermuda-incorporated Suezmax owner Nordic American Tankers (NAT) has decided to abandon its previously planned bond offering.
The company informed that the decision was made as the offering is not in the best interest of NAT shareholders.
NAT explained that its financial position “changed much to the better” in the course of the last nine months.
“It is worth noting that the expected improvement in the tanker market is becoming clearer.”
The company said it has financial flexibility through a large suezmax fleet and a long standing cooperation with its customers; oil and energy companies, including oil traders.
“Our lending and investment banks in the US and Europe play key roles in NAT. The debt per ship of NAT is low – below the scrap value of each ship,” the shipowner added.
“Over time expansion is the objective. However, sales and acquisitions of vessels do not necessarily take place at the same time. It can be expected that NAT will immediately reap the benefits of an upswing in the tanker market,” NAT concluded.