Eneti Inc. (NYSE: NETI) (Eneti) has announced 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.”