Pelagic Credit finances newbuild chemical tankers with $24.7m investment

Limassol-based Pelagic Credit has made its first investment in the chemical tanker sectorthrough a $24.7m chemical tanker newbuild financing.

The company has entered into definitive agreements for a pre- and post-delivery financing investment in two 10,000-dwt chemical tankers, with an aggregate transaction value of $24.7m during the predelivery phase.

During construction, a $24.7m predelivery loan will fund yard progress payments through to delivery, expected to generate approximately $4.2m in distributable earnings from fees and interest.

The loan is secured by a refund guarantee, according to Pelagic Credit, from an international financial institution.

Upon delivery of each vessel, the company will enter into a sale-and-bareboat-charter-back transaction financing for the vessels at terms in line with its investment criteria, subject to customary conditions.

The company said the vessels have been fixed on a long-term time charter to an energy infrastructure and fuel distribution company and are owned – as described by Pelagic Credit