Containerships to refinance €50.5 million notes due 2019 at lower rate

By Susanna Moon

Chicago, Nov. 10 – Containerships plc said it plans to refinance its €50.5 million of floating-rate notes due April 2, 2019 with a coupon of Euribor plus 750 basis points using proceeds of a new issue.

The company placed €60 million of senior secured bonds due November 2021 with a coupon of Euribor plus 625 bps under a framework of up to €100 million.

Proceeds also will be used for general corporate purposes, including investments and acquisitions.

Of the €50.5 million issue, Containerships sold €45 million of the floaters on April 2, 2015 and €5.5 million on Oct. 28, 2015.

“Not only does the bond issue allow the company to lower its cost of financing; it will enable the company to deliver on its ambition of launching Europe's first fully LNG-based supply chain, positioning it at the vanguard of European short sea logistics,” Kari-Pekka Laaksonen, chief executive officer of Containerships, said in a company press release.

The container shipping company is based in Helsinki, Finland.

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