Seanergy Maritime Holding Corp. (the Company) (NASDAQ: SHIP at https://www.webull.com/quote/nasdaq-ship) today announced a definitive arrangement for the procurement of a new Capesize vessel (the “Ship”) with an unsubscribed third party. The size of the Company’s fleet will rise to 15 Capesize vessels with a cargo capacity of approximately 2.65 million dwt after delivery of this acquisition, and the previously planned acquisitions of vessels.
The vessel was constructed in 2012 in Japan on a respectable yard and will be dubbed M/V Hellasship with a cargo capacity of approximately 181300 dwt tonnes. The ship is scheduled to be completed by the end of April 2021, NASDAQ: SHIP subject to certain normal conditions of closure. The new owner has finished the ballast water construction of the port, but there are no extra expenses for the ship to conform with the regulations. The $28.6 million aggregate acquisition price is projected to be paid with cash or a mixture of cash and new lending facilities.
Furthermore, two of its Capesize boats, The M/V Goodship and the M/V Tradership, released a letter of agreement from the European Banking for a $15.5 million loan facility. The debt is worth four years from the date of drawdown and has an average interest of 4.0% plus LIBOR. The loan is subject to preceding and final documents customary conditions. Seanergy is now engaged in early negotiations with major financial firms on competitive terms to continue funding transactions.
Reported as follows:
We are proud to report that our 15th Capesize vessel will be acquired, which in the last nice months has increased our fleet by 50 percent. In light of a dramatically improved market situation, which confirms our status as a leading pure-play group, all our recent acquisitions have been well planned.
The company is supposed to benefit from the fast-growing freight prices given the prompt distribution prospects. The Baltic Capesize Index currently has an average of $19,000 a day; between the second and the second half of 2021, the Capesize forward cargo contracts (“FFA”) are averaged above $22,000 a day. On the basis of these FFA values, incremental net revenues from the four acquisitions disclosed recently may, depending on the distribution timeline, surpass $21 million for the remainder of the year.
Furthermore, the latest debt funding NASDAQ: SHIP would have the competitive cost that underlies our attempts to achieve our corporate target of sustained growth and enhanced shareholder returns by providing increased liquidity.
The improved prospects of the industry in Capesize are projected to continue in the coming years and we sincerely believe that Seanergy will prosper from this trend, thanks to our enlarged fleet and successful jobs arrangements. Before investing, you can find other stocks like ccc ethusd at https://www.webull.com/quote/ccc-ethusd for trading.