With strong demand that led to the issue being oversubscribed by 3.6 times, the public offering of the seven-year Joint Bond Loan of up to 100 million euros by Capital Product Partners was completed.
This is the second issue of the B. Marinakis shipping company interests on the AX – the first was in October 2021 and had a record overcoverage of 5.3 times.
The announcement in detail:
“CPLP SHIPPING HOLDINGS PLC” (the “Issuer”), a member of the Capital Product Partners LP Group announces the successful completion of the Public Offering of the Joint Bond Loan of up to 100 million Euros and a duration of seven years, carried out under the guarantee of Group of CAPITAL PRODUCT PARTNERS LP (the “Guarantor”).
The total valid demand expressed by the investment public in Greece that participated in the Public Offering amounted to € 359.49 million, marking an overcovering of the issue by 3.6 times. The sale price of the Bonds has been set at even, i.e. €1,000 per Bond. The final yield of the Notes was set at 4.40% and the interest rate of the Notes at 4.40% per annum. The issuance of the KOD supports the investment program implemented by the Capital Group for the strategic transition to green shipping and strengthening its footprint in the international shipping market, through a modern fleet of high standards, which is constantly growing.
The Management of the Capital Product Partners LP Group expresses its warm thanks to the contributors to the issuance of the KOD and the investment public in Greece who, through the acceptance of the participation in the public offering, confirmed their confidence in the Group’s vision and strategy.
The CEO of Capital Product Partners LP, Gerasimos Kalogiratos, said:
“The CPLP Group is on a dynamic path of development with the aim of being at the forefront of developments in global shipping. The second successful issuance of bonds on the Greek Capital Market is another important milestone on this path. We remain committed to our investment program for the continuous renewal of our fleet with modern vessels with a reduced environmental footprint, while with our growing presence in the field of marine LNG transportation we highlight the role that ocean shipping has in ensuring energy security in Europe.
We sincerely thank the investment public of the country for their support in this important step for the development targeting of our company and shipping in general, as well as the contributors of the issue for the successful outcome”.
It is recalled that the objective of the issuance of the KOD, by CPLP SHIPPING HOLDINGS PLC, was the issuance of up to one hundred thousand (100,000) anonymous, intangible and common bonds with a minimum subscription amount of €1,000. The bonds with a nominal value of €1,000 each will have a total duration of seven years, with the possibility of early repayment of part or all of the KOD, after the 2nd year has passed and at the end of each interest period.
Capital Product Partners LP counts 15 years of successful presence on the NASDAQ stock exchange in New York. Its state-of-the-art fleet numbers 19 vessels and with the implementation of the $597.5 million development program between October 2022 and May 2023, the fleet is expected to reach 23 vessels, consisting of 7 latest generation liquefied natural gas carriers (‘LNG’), 15 container ships and 1 dry cargo ship.
State-of-the-art LNG ships, in addition to being an important development investment, are also a strategic move for “green” shipping, as natural gas is used for their propulsion, achieving a 23% reduction in greenhouse gas emissions, compared to the burning of marine oil. With a clear orientation towards a sustainable future and staying ahead of developments, the Capital Product Partners LP Group is laying the foundations for a shipping, technologically advanced, more environmentally friendly and with an active role in energy stability and the green transition.
Coordinators Main Underwriters of KOD were Piraeus Bank, Alpha Bank and Euroxx Securities SA, Underwriter was Optima bank and Issuing Advisors were Piraeus Bank and Euroxx Securities SA .Y.”
Source: Capital
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