v3.25.2
Long-Term Debt
 6 Months Ended
Jun. 30, 2025
Debt Disclosure [Abstract]  
Long-Term Debt

8. Long-Term Debt

 

Long-term debt consists of the following credit facilities, sale and lease back agreements, seller’s credits and unsecured bonds, collectively the “financing arrangements”. As of June 30, 2025 and December 31, 2024, the following amounts were outstanding under our financing arrangements:

      As of June 30, 2025   As of December 31, 2024 Rate of interest
  Credit facilities          
(i) Issued in October 2022 maturing in October 2028 (the “2022 credit facility”)   91,700   94,360 Margin + Secured Overnight Financing Rate (“SOFR”)
(ii) Issued in June 2023 maturing in June 2031 (the “2023 credit facility”)   87,500   90,625 Margin + SOFR
(iii) Issued in January 2024 maturing in December 2030 (the “2024 – LNG/C Axios II credit facility ”)   175,000   180,000 Margin + SOFR
(iv) Issued in June 2024 maturing in June 2031 (the “2024 – LNG/C Aktoras credit facility”)   227,000   233,500 Margin + SOFR
(v) Issued in June 2024 maturing in June 2031 (the “2024 – LNG/C Aristidis I credit facility”)   147,250   151,125 Margin + SOFR
  Sale and lease back agreements          
(vi) Assumed in September 2021 maturing in June 2030 (the “2021 Bocomm”)   115,123   118,216 Margin + SOFR
(vii) Assumed in September 2021 maturing in November 2029 (the “2021 Bocomm”)   110,260   113,210 Margin + SOFR
(viii) Assumed in November 2021 maturing in July 2036 (the “2021 Shin Doun”)   121,175   124,376 Fixed rate
(ix) Issued in December 2022 maturing in January 2031 (the “2022 Jolco”)   98,179   100,273 ($65,779: Margin + SOFR, $32,400: Fixed rate)
(x) Issued in February 2023 maturing in February 2033 (the “2023 CMBFL - LNG/C”)   164,313   168,687 Margin + SOFR
(xi) Assumed in December 2023 maturing in October 2033 (the “2023 CMBFL - LNG/C AMI”)   163,159   174,212 Margin + SOFR
(xii) Issued in May 2024 maturing in May 2032 (the “2023 – LNG/C Assos Jolco”)   231,445   236,079 ($190,045: Margin + SOFR, $41,400: Fixed rate)
(xiii) Issued in July 2024 maturing in July 2032 (the “2024 – LNG/C Apostolos Jolco”)   231,232   235,870 ($189,832: Margin + SOFR, $41,400: Fixed rate)
(xiv) Issued in August 2024 maturing in July 2031 (the “2024 Bocomm – LNG/C Attalos”)   154,315   158,780 Margin + SOFR
(xv) Issued in August 2024 maturing in July 2031 (the “2024 Bocomm – LNG/C Asklipios”)   154,315   158,780 Margin + SOFR
  Unsecured Bonds          
(xvi) Issued in October 2021 maturing in October 2026 (the “2021 Bonds”)   175,624   156,136 Fixed rate
(xvii) Issued in July 2022 maturing in July 2029 (the “2022 Bonds”)   117,082   104,091 Fixed rate
  Total long-term debt   2,564,672   2,598,320  
  Less: Deferred financing costs   18,017   19,808  
  Total long-term debt, net   2,546,655   2,578,512  
  Less: Current portion of long-term debt   133,162   132,439  
  Add: Current portion of deferred financing costs   4,086   4,056  
  Long-term debt, net $ 2,417,579 $ 2,450,129  

 

 

 

8. Long-Term Debt – Continued

 

Details of the Company’s financing arrangements are discussed in Note 8 of the Company’s Consolidated Financial Statements for the year ended December 31, 2024.

 

On June 26, 2025, the vessel-owning companies of two LCO2 – HMG/C currently under construction, entered into a new credit facility, the “2025 - LCO2 – HMG/C credit facility”, for an amount of $101,702 which may increase up to a total of $117,347 million if long term employment is secured, with the purpose of financing the delivery from the shipyard of the two vessels under construction (the LCO2 - HMG/C Amadeus (Hull - 8399) and the LCO2 - HMG/C Athenian (Hull - 8405)). The Company is acting as a parent guarantor. The facility is expected to be drawn down in two different tranches in April and November 2026, respectively, each with a duration of five years each.

 

During the six-month period ended June 30, 2025 the Company repaid the amount of $66,127, in line with the amortization schedule of its financing arrangements.

 

For the six-month periods ended June 30, 2025, and 2024, the Company recorded interest expense net of capitalized interest (Note 6) of $57,442 and $60,925, respectively and the weighted average interest rate of the Company’s financing arrangements was 5.3% and 6.8%, respectively.

 

As of June 30, 2025, the required annual payments to be made subsequently to June 30, 2025, are as follows:

For the year ending June 30,   Amount
2026 $ 133,162
2027   301,715
2028   119,089
2029   191,456
2030   399,776
Thereafter   1,419,474
Total $ 2,564,672

  

All the Company’s sale and leaseback agreements were classified as financing arrangements because they include various purchase options retained by the Company commencing from the first-year anniversary and either an obligation or an option to acquire each vessel at expiration at a predetermined price, precluding the transfer of control over the vessels. The Company’s credit facilities and sale and lease back agreements contain customary ship finance covenants, including restrictions on changes in management and ownership of the mortgaged vessels, the incurrence of additional indebtedness and the mortgaging of vessels and requirements such as that the ratio of EBITDA to net interest expenses be no less than 2:1, a minimum cash requirement of $500 per vessel, as well as that the ratio of net total indebtedness to the total assets of the Company adjusted for the market value of the fleet not exceed 0.75:1. The Company’s financing arrangements also contain a collateral maintenance requirement under which the aggregate fair market value of the collateral vessels should not be less than 125% of the outstanding amounts under the 2022 credit facility, 120% of the outstanding amount under the 2023 credit facility and the 2024 – LNG/C Aristidis I credit facility, 111% of the outstanding amount under the 2021 Bocomm, the 2024 Bocomm – LNG/C Asklipios and the 2024 Bocomm – LNG/C Attalos and 110% of the outstanding amount under the 2023 CMBFL - LNG/C AMI, the 2023 CMBFL - LNG/C, the 2024 – LNG/C Aktoras credit facility and the 2024 – LNG/C Axios II credit facility. Also, the vessel-owning companies may pay dividends or make distributions only when no event of default has occurred and the payment of such dividend or distribution has not resulted in a breach of any of the financial covenants. In addition, the 2022 and 2021 Bonds contain requirements such as that the ratio of EBITDA to net interest expenses be no less than 2:1, a restricted cash requirement and that the ratio of net total indebtedness to the total assets of the Company adjusted for the market value of the fleet not exceed 0.75:1. In addition, the 2022 and 2021 Bonds require that:

 

• the Company maintain a pledged Debt Service Reserve Account (“DSRA”) with a minimum balance of €100,000;
• the Company deposit to the DSRA 50% of any cash disbursements to shareholders (e.g., dividends) exceeding $20,000 per annum, capped at 1/3 of the par value of the 2022 and 2021 Bonds outstanding at the time; and
• if the Company’s Market Value Adjusted Net Assets (“MVAN”) falls below $300,000 then to deposit to the DSRA the difference between the MVAN and the $300,000 (capped to 1/3 of the par value of the 2022 and 2021 Bonds outstanding).

 

The Company’s credit facilities and sale and lease back agreements include a general assignment of the earnings, insurances and requisition compensation of the respective collateral vessel or vessels. They also require additional security, such as pledge and charge on current accounts and mortgage interest insurance.

 

As of June 30, 2025, and December 31, 2024, the Company was in compliance with all financial debt covenants.

 

As of June 30, 2025, the Company had available undrawn amount under Company’s financing arrangements amounting to $101,702.