Grindrod Shipping Holdings announces recent transactions

The previously announced acquisition of the remaining 31.14% equity stake in its IVS Bulk joint venture (IVS Bulk) and concurrent redemption of the IVS Bulk preference shares were concluded on 1 September 2021. The company elected to close on the acquisition utilising cash on hand but still intends to complete the US$23 million upsizing of one of its exiting IVS Bulk credit facilities by 30 September 2021 to replace the working capital used to fund the transaction. The company has received credit committee approval from its lenders and is in the process of completing definitive documentation, although there is no assurance that the financing will be completed as contemplated.

The company has exercised its option to extend the firm charter-in period of the 2015-built supramax dry bulk vessel IVS Pinehurst for 11 to 13 months at a pre-agreed fixed rate, starting from approximately 3 January 2022. The company retains the existing purchase option to acquire the vessel at a fixed price up to the end of the charter-in period.

Martyn Wade, the company’s Chief Executive Officer, commented: “We are very pleased to announce the completion of the acquisition of the remaining shares in IVS Bulk and 100% ownership of all the owned vessels in the Grindrod Shipping fleet. We would like to thank the team at Bain Capital Credit for their strong partnership over the past eight years in IVS Bulk and wish them all the best in their future endeavours.”

Read the article online at: https://www.drybulkmagazine.com/special-reports/06092021/grindrod-shipping-holdings-announces-recent-transactions/