Gram Car Carriers refinances 2015-built vessel with $41m loan

Norway’s Gram Car Carriers has agreed to refinance the 6,700 ceu
Viking Adventure with a leading Japanese bank at competitive terms.

The new $41m loan has a duration matching the current charter for the 2015-built carrier ending in mid-2028 and a margin of SOFR +1.73%. This compares a margin of SOFR +4.26% under the previous lease financing which was repaid earlier this year.

“Lower cost of debt, combined with a near-record revenue backlog built in a historically strong car shipping market, support long-term cash flow visibility and continued attractive dividend distributions,” said Georg A. Whist, the company’s CEO.

The Oslo-listed company said in September 2022 that it sealed a five-year charter extension for the Viking Adventure at an average dayrate of $60,000.

Earlier that same year, Gram Car Carriers entered into a sale and leaseback agreement with CSSC Shipping, the financial leasing unit of China State Shipbuilding Corporation, for the vessel. Under the deal, CSSC Shipping acquired the Viking Adventure and will charter it back for 96 months. The Norwegian car carrier operator will repurchase the vessel upon the expiration of the charter.