Seanergy Maritime Holdings Corp. announced that the Company received approval, in the form of a commitment letter, from one of its existing lenders to refinance a loan facility that was originally maturing on June 30, 2020 (the “Existing Facility”). The Existing Facility is secured by two of the Company’s Capesize vessels, the 2010 built M/V Geniuship and the 2004 built M/V Gloriuship, which will also secure the new loan facility (the “New Facility”).
The New Facility will have a five-year term, expiring in July 2025, and its underlying repayment terms will have a positive impact on the breakeven rates of the subject vessels. Pursuant to the commitment letter, the New Facility will provide additional flexibility to the Company as compared to the Existing Facility. The refinancing is subject to completion of definitive documentation. In order to facilitate the refinancing, the Company has reached an agreement with the lender under the Existing Facility to extend its original term until July 31, 2020.
Stamatis Tsantanis, the Company’s Chairman & Chief Executive Officer, stated: “We are very pleased to announce this important development for our Company, as it will allow us to timely refinance an imminent loan maturity, with a new five-year facility that will have a positive impact on the break-even rates of the vessels, at a time when the earnings environment is improving considerably.”