Photo credit: DHT Holdings

Bermuda-based DHT Holdings reports today that it has a new $305 million secured credit facility. The new facility will refinance the outstanding amount on the current ABN Amro credit facility and be secured by 10 of the company’s VLCCs.

The New York-listed company said the DHT financing included a six-year tenor and a 20-year repayment profile. It will bear interest at a rate equal to Secured Overnight Financing Rate (SOFR) plus a margin of 1.90%, including the historical Credit Adjustment Spread (CAS) of 26 basis points. The cost of the facility compares to a Libor equivalent margin of 164 basis points, representing a reduction in the Company’s borrowing cost, as DHT said in a statement.

ING and Nordea are acting as joint coordinators and bookrunners with ING, Nordea, Crédit Agricole, Danish Ship Finance and SEB as mandated lead arrangers. ING will act as agent for the credit facility, which was oversubscribed.

DHT is an independent crude oil tanker company, and its fleet consists of crude oil tankers in the VLCC segment. They operate through their integrated management companies in Monaco, Norway and Singapore.