Okeanis Eco Tankers Corp. – New Financing Update

ATHENS, Greece, June 20, 2024 (GLOBE NEWSWIRE) -- Okeanis Eco Tankers Corp. (“we”, the “Company”, “OET” or “Okeanis”) (NYSE:ECO / OSE:OET) is pleased to announce the following financing update relating to its fleet.

On June 20, 2024, we entered into a new $31.11 million senior secured credit facility to finance the option to purchase back the Suezmax vessel Poliegos from its current sale and leaseback financier (the “Poliegos New Facility”). The Poliegos New Facility is provided by Bank SinoPac Co., Ltd, and the transaction is expected to close in July 2024. The Poliegos New Facility contains an interest rate of Term SOFR plus 160 basis points, matures in six years, and will be repaid in quarterly instalments of approximately $0.78 million each, together with a balloon instalment of approximately $12.44 million payable at maturity. The Poliegos New Facility is secured by, among other things, security over the Poliegos, and is guaranteed by the Company.

Iraklis Sbarounis, CFO of the Company, commented:

“We are very pleased to announce this transaction that marks an important milestone in our continuous efforts to improve our capital structure, with a significant reduction in pricing compared to the vessel’s previous sale and leaseback financing.

We have strategically targeted setting foot in this new financing market and are satisfied to enter into our first transaction. We believe it may open new opportunities for us in the future, and adds diversity and flexibility to our debt financing options, especially considering the challenges that may start affecting part of the more traditional ship financing markets due to the implementation of the Basel IV banking reforms. We have strong relationships with and access to multiple Asian financing markets that we believe tactically and effectively complement our mix of financiers.

Since June 2023, we have refinanced our entire fleet, except for our two VLCC vessels that are financed through sale and leaseback facilities and whose purchase options are not initially exercisable by us until the first half of 2026. With respect to the remaining twelve vessels that have been refinanced, we have significantly improved pricing, extended maturities, added flexibility, and accessed new financing markets. Indicatively (and also taking into account the transition of the benchmark interest rate from LIBOR to SOFR in 2023), we have reduced the applicable pricing on our banking debt on these vessels (the principal of which is more than $550 million), on a weighted basis, by approximately 125 basis points. Furthermore, we have extended maturities staggered between 2028 and 2031.

We look forward to continuing working with our financiers to source the best refinancing options for the Nissos Rhenia and the Nissos Despotiko in 2026, or if the opportunity arises for other accretive deals.”

Contacts

Company:

Iraklis Sbarounis, CFO

Tel: 0

Investor Relations / Media Contact:

Nicolas Bornozis, President

Capital Link, Inc.

230 Park Avenue, Suite 1540, New York, N.Y. 10169

Tel: +1 (212) 661-7566

This information is subject to the disclosure requirements pursuant to Section 5-12 of the Norwegian Securities Trading Act.

About OET

OET is a leading international tanker company providing seaborne transportation of crude oil and refined products. The Company was incorporated on April 30, 2018 under the laws of the Republic of the Marshall Islands and is listed on Oslo Børs under the symbol OET and the New York Stock Exchange under the symbol ECO. The sailing fleet consists of six modern scrubber-fitted Suezmax tankers and eight modern scrubber-fitted VLCC tankers.

Forward-Looking Statements

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