Monaco-based GoodBulk has made a significant step to improving its profitability with the sealing of a $200m refinancing of its fleet.
GoodBulk has received approval from its banks for a $200m loan to refinance the outstanding amounts under five of its six existing facilities. The new loan, which is expected to be finalised next month, will have a tenor of five years
“This arrangement will allow GoodBulk to further reduce its already competitive all-in cash breakeven for the second half of 2020 to $6,922 per day from a current $10,507 per day, for 2021 to $9,947 per day from a current $10,305 per day and for 2022 to $9,810 per day from a current $9,878 per day,” the company revealed.
GoodBulk chairman and CEO John Michael Radziwill recently told Splash he believed that capes are headed for a sweet spot earnings-wise.
“Industrial activity is picking up. Commodity buying is back. Brazil iron ore exports are coming back this week and is reflected in day rates and the forward curve,” Radziwill said, adding: “Supply and demand is getting a lot tighter for now and for the rest of the year.”
GoodBulk currently has a fleet of 24 dry bulk vessels, made up of 23 capsizes and a panamax.