London, United Kingdom, October 15, 2020 / PRNewswire / – Seaspan Corporation (“Seaspan”), a wholly owned subsidiary of Atlas Corp. (“Atlas”) (NYSE: ATCO), today announced the closing of Seaspan’s Sustainability Loan (“SLL”). The SLL will be a $ 200 million increasing Seaspan’s portfolio financing program (the “Program”), the first of its kind in the container charter industry. SLL has received a senior BBB- secured rating by the Kroll Bond rating agency.
The SLL consists of a $ 200 million six-year term loan. The expanded program includes a $ 300 million revolving credit facility (“RCF”) and approximately $ 1.5 billion term loan commitments, with maturities staggered between 2024 and 2026. The proceeds of the SLL are intended to repay the RCF, strengthening liquidity and the capacity for growth opportunities.
Bing Chen, CEO and Interim CFO of Atlas, said, “Our execution of SLL marks the first sustainability-related financing in container ship leasing and aligns Seaspan’s long-standing commitment to promoting sustainable development with our capital structure strategy. our team has consistently implemented quality growth and improved capital structure during a difficult time for the global financial markets. possible milestone. “
Matthew Tinari, Head of Corporate Development, added: “We are delighted to be able to drive innovation in vessel finance and sustainability-related lending, which aligns with our corporate goals and our key priorities for Seaspan. “
- Landmark for container shipping – The SLL is the first loan linked to sustainable development in the container ship rental sector.
- Sustainalytics Part 2 Opinion – Sustainalytics, one of the leading independent providers of ESG studies and ratings, confirmed that SLL complies with the Sustainability Lending Principles (SLLP).
- Aligned with the principles of Poseidon – Framework inspired by the Poseidon Principles, the global framework through which financial institutions can assess the climate alignment of their ship finance portfolios.
- Align sustainability goals with financial data – SLL pricing is adjusted based on Seaspan’s achievements measured against two key performance indicators (KPIs).
- The first aims to measure the alignment of the carbon intensity of collateral vessels with the 2050 decarbonisation trajectory of the International Maritime Organization (IMO).
- The second aims to foster cooperation with charterers in order to advance the decarbonization program, seeking to include provisions related to sustainable development in future charter contracts, thus creating an innovative approach to the decarbonization value chain. .
Advisors and lenders
The SLL is fully subscribed by Societe Generale and BNP Paribas as principal arrangers, underwriters and mandated bookkeepers, with Societe Generale acting as the sole Sustainable Development Coordinator.
Atlas is a leading global asset management company, distinguished by its position as a leading owner and operator, focused on deploying capital to create sustainable shareholder value. Atlas brings together an experienced asset management team with extensive experience in operations and capital allocation. We target long-term risk-adjusted returns on high quality infrastructure assets in the marine, energy and other vertical infrastructure sectors. Our two holding companies, Seaspan Corporation and APR Energy, are unique and industry-leading operating platforms in the global marine and energy spaces, respectively.
For more information, visit atlascorporation.com
Seaspan is a leading independent container ship owner and operator providing industry leading ship management services. We charter our vessels primarily through long-term, fixed-rate charters from the largest container ships in the world. Seaspan’s fully delivered fleet consists of 127 container ships, representing a total capacity of approximately 1,073,000 TEUs. Seaspan’s operating fleet of vessels has an average age of approximately 7 years and an average remaining lease term of approximately 4 years, on a TEU weighted basis.
For more information visit seaspancorp.com
Caution Regarding Forward-Looking Statements
This press release contains certain forward-looking statements (as that term is defined in Section 21E of the Securities Exchange Act of 1934, as amended) regarding future events, including forward-looking statements regarding the possible future redemption of the Notes. Statements of a predictive nature, which depend on or refer to future events or conditions, or which include words such as “expects”, “anticipates”, “intends”, “plans”, “believes” , “Estimates”, “plans”, “forecasts”, “will”, “could”, “potential”, “should”, and similar expressions are forward-looking statements. These forward-looking statements reflect the current expectations of management only as of the date of this press release. Accordingly, you are cautioned not to rely on any forward-looking statements. Although such statements are based on assumptions that we believe to be reasonable based on available information, they are subject to risk and uncertainties. These risks and uncertainties include, but are not limited to: the possibility that we may not be able to execute our growth strategy; the possibility that we will not redeem the Notes prior to maturity; and others factor s detailed from time to time in our periodic reports and documents to the Securities and Exchange Commission, including Atlas’s annual report on Form 20-F for the year then ended December 31, 2019. We expressly disclaim any obligation to update or revise any of these forward-looking statements, whether as a result of future events, new information, a change in our views or expectations, or otherwise. We do not make any predictions or statements about the performance of any of our securities.
SOURCE Atlas Corp.