Genco receives capesize vessels; new credit facility agreement announced

The Genco Endeavour and the Genco Resolute are the second and third of six vessels to be delivered to Genco as part of its recent agreements to acquire six high specification, fuel efficient capesize and ultramax vessels, which, together with the recent or expected sale of three older vessels, are expected to reduce the average age of the company’s fleet by more than one year and increase overall carrying capacity to approximately 5.4 million dwt. The remaining three vessels are expected to be delivered to Genco in the third quarter of 2018.

Genco also entered into a previously announced five year senior secured credit facility in an aggregate principal amount of up to US$108 million. Genco anticipates drawing down US$51.75 million on or about 17 August 2018 to partially finance the three vessels delivered to date, namely the Genco Endeavour, Genco Resolute and Genco Weatherly. Furthermore, Genco anticipates additional drawings under this credit facility to finance a portion of the purchase price of the remaining three vessels the company has agreed to acquire. Genco expects that borrowings under this credit facility, when combined with borrowings under the company’s US$460 million credit facility closed in June 2018, will lower its weighted average cost of debt by 100 basis points compared to its previous credit facility structure.

Read the article online at: https://www.drybulkmagazine.com/shipping/16082018/genco-receives-capesize-vessels-new-credit-facility-agreement-announced/