Costamare announced the closing of a 5-year syndicated loan facility for an amount of up to $500 million.
Proceeds from the loan will be used to refinance the existing indebtedness of 17 containerships with an average age of 14 years and for general corporate purposes. The original maturity of the existing indebtedness for 16 out of 17 vessels would have occurred prior to the maturity of the new syndicated facility.
The facility was significantly oversubscribed. Full drawdown of the facility is expected to be concluded by the end of Q2 2022.
Gregory Zikos, Chief Financial Officer of the Company said: “We are pleased with the conclusion of the new syndicated loan facility, which allows us to proactively refinance 16 ships at competitive terms. The new facility reduces significantly our cost of funding, while the expected net cash inflow after repayment of the current debt obligations is about $200 million. The loan was oversubscribed by 12 leading US, European and Asian financial institutions, most of them representing new financing relations.”