“Ocean Yield ASA is contemplating the issuance of new unsecured bonds in the Nordic bond market with maturity in May 2020,” the company said in a statement.
“The net proceeds from the contemplated bond issue will be used to finance future growth and for general corporate purposes,” it noted, adding that Danske Bank Markets, Nordea Markets, and Pareto Securities have been retained as joint lead arrangers of the contemplated bond issue.
The company has launched one bond so far: an NOK1.0 billion (USD126.4 million) five-year paper that carries a coupon of NIBOR (Norwegian Inter Bank Offered Rate) plus 3.90%. It was issued last year.
On 1 April, the company agreed to buy eight chemical tanker newbuildings currently under construction for a total of USD306.7 million in a move that further diversified its investment portfolio that had included, for example, offshore services vessels and car carriers. The chemical carriers will be chartered out to the Navig8 group for 15 years upon delivery.
Shipping analysts have told IHS Maritime that the current environment, in which some owners face difficulty in raising adequate financing to take delivery of their newbuildings, is an opportunity for Ocean Yield to grow its business due to its strong financial position.
The company was formed by the Aker group in 2012 and listed on the Oslo Stock Exchange in July 2013. It has committed investments of USD1.3 billion since its launch, excluding the chemical carriers.