Oslo-based MPC Container Ships (MPCC) has entered into a new $100m four-year revolving credit facility agreement with Hamburg Commercial Bank (HCOB).
“As we embark on the new year, the new financing facility strengthens our liquidity and expands our capacity to pursue selective, value-enhancing opportunities in alignment with our strategy, promoting long-term shareholder value creation,” said chief financial officer of MPCC Moritz Fuhrmann.
The Oslo-based shipping company said it secured the facility “at attractive terms.”
The facility remains undrawn and replaces former CIT and HCOB revolving credit facilities with a total commitment of $75m and maturities in 2024 and 2026, which were fully repaid and cancelled in the fourth quarter of 2023.
MPCC claims that has no debt maturities until 2027 after the debt repayment and entering into the new loan agreement.
It also highlights the fact that the debt repayment and the new facility strengthens its balance sheet.
As informed, the new revolving credit facility is secured by 14 vessels, releasing substantial collateral of 9 vessels previously included in the former financing facilities, resulting in 38 debt free vessels in the fleet.
Moritz Fuhrmann, chief financial officer of MPCC, noted: “Adhering to our principles of clear and rational capital allocation, the recent debt repayments and the new loan facility will reduce financing costs, free up collateral, and improve our maturity profile. This enhances our financial flexibility ahead of the new year and unlocks additional value for our shareholders,” Moritz Fuhrmann noted.
