Scorpio Tankers, Inc. announced that it has closed a previously announced credit facility with a group of European financial institutions.
In May 2020, the Company executed an agreement for a loan facility of up to $225.0 million with a group of European financial institutions. This loan facility consists of a $150.0 million term loan facility and $75.0 million revolving credit facility. The proceeds of this new facility are expected to be used to refinance the existing debt on nine vessels.
The loan has a final maturity of five years from the closing date of the loan and bears interest at LIBOR plus a margin. The loan is expected to be repaid in equal quarterly installments with a balloon payment due at maturity. The terms and conditions, including financial covenants, are similar to the Company’s existing credit facilities.
Source: Scorpio Tankers Inc.