Hong Kong dry bulk owner Pacific Basin had closed a new seven-year $325m revolving credit facility.
The new facility, secured by over 50 of the company’s owned ships, is supported by a syndicate of eight leading international banks. It refinances several of Pacific Basin’s existing credit facilities and raises fresh capital.
Peter Schulz, CFO of Pacific Basin, commented: “We are very pleased with the terms of this important new milestone transaction for Pacific Basin. The facility further increases our funding flexibility with access to long-term committed funding on a revolving basis for the next seven years at an attractive cost which further reduces our already very competitive vessel P&L breakeven levels. We are glad that the facility has been supported by first rate banks that are familiar with the shipping industry, including four banks that represent new banking relationships for Pacific Basin.
“The facility demonstrates Pacific Basin’s strong access to diverse sources of capital. It was 40% oversubscribed reflecting the attraction of our solid balance sheet, corporate profile, business model, track record and reputation which set us apart as a preferred, strong, reliable and safe partner for finance providers, customers and other stakeholders.”