John Fredriksen’s Frontline has entered into three senior secured term loan facilities for a total of up to $485.2m.
The loans will be used to refinance two existing term loan facilities maturing in the second quarter of 2021 and to partially finance LR2 tankers under construction.
“Following the recently concluded refinancing of two term loan facilities with total balloon payments of $324.4 million due in April 2021 and in June 2021, Frontline has no material maturities until 2023. The Company’s newbuilding program is also fully funded with a new term loan facility in an amount of up to $133.7 million. Importantly, our recent financings were done at attractive terms, maintaining our competitive cost structure and reinforcing Frontline’s strong standing within the lending community,” said Inger Klemp, CFO of Frontline Management.
Frontline reported a net income of $56.4m for the third quarter of this year.