Navios to Expand Fleet with Two VLCCs
Monaco-based tanker owner and operator Navios Maritime Midstream Partners (NAP) plans to launch syndication of a USD 205 million Term Loan B to finance the purchase of up to two very large crude carriers.
Apart from financing the purchase of up to two VLCCs from Navios Maritime Acquisition Corporation, NAP plans to use the remainder of the loan to refinance existing term indebtedness and to pay related fees and expenses.
$123.4 million of the $205.0 million Term Loan B is expected to be used to repay the Company’s existing credit facility, $73.0 million is expected to be used to fund the acquisition of C. Dream and Nave Celeste from Navios Maritime Acquisition, $5.0 million is expected to be used to pay fees and expenses and $3.6 million is expected to be cash to the Company’s balance sheet.
The total purchase price for the two vessels will be approximately $100 million, which will include Company Subordinated units which will be issued to Navios Maritime Acquisition as part of the consideration, subject to normal closing adjustments.
The timing and size of any new credit facility and the use of proceeds thereof are subject to market and other conditions, and there can be no assurance that such actions will take place at any specific time, or at all, said NAP in a stock exchange announcement.
