Norwegian offshore vessel owner DOF has secured a $1,025m senior secured term loan with a syndicate of ten banks.
The company also inked a $50m revolving credit facility. Both loans will be used to repay existing debt and for general corporate purposes.
The facilities agreement includes an undrawn, uncommitted basket amount of $200m for incremental facilities for specified purposes.
The interest margin for the two loans will be 290 bps for the first twelve months. The margin will later be subject to the company’s leverage as measured through NIBD and LTM EBITDA.
According to a statement from DOF, the loans also enable the payout of quarterly dividends at $0.3 per share in the second quarter of the year as well as a simplification of the company’s structure.
Namely, DOF Offshore Holding will become the holding company for vessel-owning entities across the group, except for vessels owned in DOF Subsea Brasil, Norskan, and the DOFCON joint venture.
“We appreciate the support from our existing and new banks in connection with this refinancing. This loan demonstrates access to competitive funding and is a testament to the strong market position within offshore and subsea services the team at DOF has built,” said Mons Aase, CEO of DOF.
