Canadian containership owner/operator Seaspan Corporation has successfully closed its issuance of $750m in senior unsecured notes. The notes are being issued in connection with Seaspan’s Blue Transition Bond Framework (BTBF), which is designed to align with the guidelines of the International Capital Market Association’s Green Bond Principles 2021 (GBP). The GBP identify best practices in financial instruments that enable capital-raising and investment for new and existing projects with intended environmental benefits.
Seaspan intends to allocate the net proceeds of the offering to acquire, finance or refinance new and/or existing eligible projects consistent with its BTBF. The transaction furthers Seaspan’s sustainability efforts, advances its sustainability-linked capital structure, and adds liquidity to support additional growth opportunities.
Seaspan currently has an operational fleet of 131 vessels with a total capacity of 1.1m teu and 55 vessels under construction, increasing total capacity to 1.9m teu on a fully delivered basis.
Graham Talbot, CFO of Seaspan, said, “In the last 12 months, we have issued inaugural unsecured credit offerings in three different markets, making significant progress on our communicated path to investment grade. Our financial strength has allowed Seaspan to take advantage of significant recent growth opportunities and deliver dependable and consistent returns to our credit and equity investors, while maintaining a prudent balance sheet.”
The notes will mature in 2029 and will accrue interest payable semi-annually at a rate of 5.5% per year.