Eneti Inc. Announces Closing of a $436.0 Million Credit Facility and Sale of Two NG2500X Vessels
30 November 2023 - 11:26PM
Eneti Inc. (NYSE: NETI) (“Eneti” or the “Company”) announced today
that the Company executed a previously announced senior secured
green term loan facility of up to $436.0 million (the “Credit
Facility”) with a group of international banks and export credit
agencies co-arranged and co-underwritten by Credit Agricole
Corporate and Investment Bank and Société Générale, and with
Société Générale as Green Loan Coordinator. The Credit Facility
finances approximately 65% of the purchase cost of the Company’s
two newbuild wind turbine installation vessels (each a “WTIV”), and
it includes a commercial tranche of up to $130.8 million, a direct
tranche from the Export-Import Bank of Korea (KEXIM) of up to
$115.0 million, a guaranteed tranche from Eksportfinansiering Norge
(Eksfin) of up to $45.0 million and a covered tranche from Korea
Trade Insurance Corporation (K-SURE) of up to $145.2
million. The lenders to the commercial tranche, Eksfin
guaranteed tranche and K-SURE covered tranche are Credit Agricole
Corporate and Investment Bank, Crédit Industriel et Commercial, New
York Branch, KfW IPEX-Bank GmbH, Société Générale and The Korea
Development Bank.
The maturity date of the Credit Facility in relation to each
vessel is 12 years from the delivery date of each vessel. The
Credit Facility bears interest at a blended margin of SOFR plus
2.36% per annum (exclusive of premiums payable to K-SURE and
Eksfin). The remaining terms and conditions, including financial
covenants, are similar to those of the Company’s existing credit
facility.
In November 2023, the Company delivered both the Seajacks Hydra
and Seajacks Leviathan to their new owner. These deliveries, along
with the delivery of the Seajacks Kraken in October 2023, complete
the sale of all of the Company’s NG2500X vessels.
Emanuele Lauro, Chairman and CEO, commented, “We are delighted
to have received such strong support from the lenders and export
credit agencies to allow us to successfully close this green loan
facility to finance our two newbuild WTIVs.”
About Eneti Inc.
Eneti Inc. is a leading provider of installation and maintenance
vessels to the offshore wind sector and has invested in the next
generation of wind turbine installation vessels. The Company is
listed on the New York Stock Exchange under the ticker symbol
NETI. Additional information about the Company is available on
the Company’s website: www.eneti-inc.com.
Forward-Looking Statements
Matters discussed in this press release may
constitute forward-looking statements. The Private Securities
Litigation Reform Act of 1995 provides safe harbor protections for
forward-looking statements in order to encourage companies to
provide prospective information about their business.
Forward-looking statements include statements concerning plans,
objectives, goals, strategies, future events or performance, and
underlying assumptions and other statements, which are other than
statements of historical facts. The Company desires to take
advantage of the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995 and is including this cautionary
statement in connection with this safe harbor legislation. The
words “believe,” “expect,” “anticipate,” “estimate,” “intend,”
“plan,” “targets,” “projects,” “likely,” “would,” “could” and
similar expressions or phrases may identify forward-looking
statements.
The forward-looking statements in this press
release are not guarantees of future performance, conditions or
results, and involve a number of known and unknown risks,
uncertainties, assumptions and other important factors, many of
which are outside our management’s control, that could cause actual
results or outcomes to differ materially from those discussed in
the forward-looking statements. These forward-looking statements
are based on information available as of the date hereof, and
current expectations, forecasts and assumptions, and involve a
number of judgments, risks and uncertainties. Although we believe
that these assumptions were reasonable when made, because these
assumptions are inherently subject to significant uncertainties and
contingencies which are difficult or impossible to predict and are
beyond our control, we cannot assure you that we will achieve or
accomplish these expectations, beliefs or projections and we do not
undertake any obligation to update forward-looking statements to
reflect events or circumstances after the date they were made,
whether as a result of new information, future events or otherwise,
except as may be required under applicable securities laws.
In addition to these important factors, other
important factors that, in our view, could cause actual results to
differ materially from those discussed in the forward-looking
statements include: our future operating or financial results;
changes in demand for Wind Turbine Installation Vessel (“WTIV”)
capacity; the strength of world economies and currencies; the
length and severity of the recent novel coronavirus (COVID-19)
outbreak, including its effects on demand for WTIVs and the
installation of offshore wind turbines; our ability to successfully
employ our existing and newbuilding WTIVs and the availability and
suitability of our vessels for customer projects; our ability to
compete successfully for future chartering and newbuilding
opportunities; our continued ability to employ our vessels;
fluctuations in interest rates and foreign exchange rates; early
termination of customer contracts, our failure to win new contracts
for our vessels or the failure of counterparties to fully perform
their contracts with us; our ability to successfully identify,
consummate, integrate and realize the expected benefits from
acquisitions and changes to our business strategy; our ability to
successfully operate in new markets; changes in our operating
expenses, including bunker prices, drydocking and insurance costs;
compliance with, and our liabilities under, governmental, tax,
environmental and safety laws and regulations; changes in
governmental rules and regulations or actions taken by regulatory
authorities; potential liability from pending or future litigation;
general domestic and international political conditions; potential
disruption of shipping routes due to accidents or political events;
our ability to procure or have access to financing, our liquidity
and the adequacy of cash flows for our operations; our continued
borrowing availability under our debt agreements and compliance
with the covenants contained therein; fluctuations in the value of
our vessels and investments; our ability to fund future capital
expenditures and investments in the construction, acquisition and
refurbishment of our vessels (including the amount and nature
thereof and the timing of completion thereof, the timely delivery
to us and commencement of operations dates, expected downtime and
lost revenue); potential exposure or loss from investment in
derivative instruments or other equity investments in which we
invest; potential conflicts of interest involving members of our
Board and senior management and our significant shareholders; and
our expectations regarding the availability of vessel acquisitions
and our ability to complete acquisition transactions planned and
other factors.
Contact Information
Eneti Inc.James Doyle – Head of Corporate
Development & Investor RelationsTel: +1 646-432-1678Email:
Investor.Relations@Eneti-inc.comhttps://www.eneti-inc.com
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