Nordic American Tankers (NAT) has entered into a five-year $306m senior secured credit agreement arranged by CSG Investments, and funded by Beal Bank of Dallas.
The new credit will replace the company’s current revolving credit facility and lower the effective interest. It will amortize as per a 20-year profile with full maturity after 5 years.
“The financing will continue to secure a competitive cash break-even rate for NAT. More importantly, the new loan allows NAT greater flexibility in setting dividend payments,” the company said in a statement.
NAT holds a bright outlook on the suezmax tanker market.
“The market for our suezmaxes is solid. The plan announced today also positions NAT well for the future,” the company said.
NAT currently operates a fleet of 20 suezmax tankers with an average age of 12 years.
