Star Bulk, a global shipping company focused on the transportation of dry bulk cargoes announced that it has repaid to its lenders all outstanding deferred debt amounts originating from the September 2016 restructuring of its finance agreements. The Company currently has no restrictions on vessel acquisitions or new debt and is free to make dividend payments to its shareholders from January 1, 2019 onwards.
The Company also announced today that it has refinanced existing loans of approximately $617 million with new debt financing totaling over $625 million (“New Debt”). The New Debt will finance 59 vessels of all types, ranging from Newcastlemax down to Supramax, with an average age of 10.2 years. With this transaction, the Company has been able to expand its banking group to include new European and Asian financial institutions, and reduce its cost of debt as the interest margin on the New Debt is 70 bps lower than the weighted average interest margin on refinanced debt.