March 15, 2019

Belships secures loan facility

Drybulk operator Belships Group has secured a $140 million loan facility.

The loan replaces the current $105 million of senior debt.

The new loan will be available in two tranches.

An initial $110 million tranche will replace an existing loan and boost liquidity. A $30 million accordion tranche will be available to fund fleet expansion.

The loan has a 275bp margin.

The initial tranche is based on a loan-to-value ratio (LTV) of 55%, while the accordion tranche is based on a 60% LTV.

Lenders for the new loan facility are DNB Bank, Danske Bank and Sparebank 1 SR-Bank.

Following the Lighthouse Group merger in December 2018, Belships owns 12 supramax and ultramax drybulk vessels.

The group also operates three ultramax on time and bareboat charter with purchase options.

An ultramax newbuilding being delivered in 2020 will bring the fleet to 16 vessels.

Belships is pursuing an expansion strategy and expects to acquire additional supramax and/or ultramax vessels.