HAFNIA SIGNS USD 374 MILLION SUSTAINABILITY-LINKED TERM LOAN AND REVOLVING CREDIT FACILITY
HAFNIA SIGNS USD 374 MILLION SUSTAINABILITY-LINKED TERM LOAN AND REVOLVING
Singapore, 24 March 2021
Hafnia Limited (“Hafnia,” the “Company,” OSE ticker code: “HAFNI”), is pleased
to announce that it has signed a seven-year USD 374 million
Sustainability-Linked Senior Secured Term Loan and Revolving Credit Facility
(“SLL”) with a syndicate of 10 banks. The SLL is to refinance existing USD 676
million and USD 128 million facilities maturing in March 2022 and December 2023,
The syndicate includes ABN AMRO, BNP Paribas, DBS Bank, ING Bank, IYO Bank,
Oversea-Chinese Banking Corporation (“OCBC Bank”), Skandinaviska Enskilda Banken
AB, Société Générale, Standard Chartered Bank, and United Overseas Bank, all of
which acted as mandated lead arrangers. Standard Chartered Bank also acted as
facility coordinator and agent.
The facility has an annual Sustainability Margin Adjustment Mechanism that
depends on Hafnia’s continuous improvement in emissions-related key performance
indicators (KPIs). These KPIs include the International Maritime Organisation’s
decarbonisation target and are aligned with the Poseidon Principles . Hafnia
has engaged Sustainalytics, a global leader in ESG data and research, to confirm
that the SLL’s structure will support Hafnia’s sustainability strategy. ING Bank
and OCBC Bank acted as joint sustainability coordinators for the SLL.
This is Hafnia’s first syndicated sustainability-linked facility and one of the
largest of its kind in the shipping sector.
“We are very proud to play an integral role in this sustainability-linked ship
financing for Hafnia, which reinforces our commitment to our client’s
sustainability journey,” says Abhishek Pandey, Global Head of Shipping Finance
at Standard Chartered.
Ms Elaine Lam, Head, Global Corporate Banking, OCBC Bank, says, “We are
delighted to support Hafnia on its maiden sustainability-linked loan as joint
sustainability coordinator. Shipping is vital to global economic growth, so it
is heartening to see Hafnia commit to decarbonising their fleet by harnessing
new technologies and improving efficiency. We believe this milestone transaction
will inspire more peers to create a sustainable and low-carbon shipping
industry. Sustainable finance, such as this SLL, is critical to accelerate the
“ING shares Hafnia’s vision for a low-carbon future as a Poseidon Principles
signatory. As a leading bank in both sustainable finance and shipping finance,
we are grateful for the opportunity to help Hafnia on its journey towards a
greener future with its first sustainability-linked loan, together with a broad
syndicate of lenders.” says Remko Witteveen, CEO ING Wholesale Banking, Asia
“We greatly appreciate the strong support from our banks and are proud to
collaborate with them on shipping’s decarbonisation. This facility demonstrates
Hafnia’s access to highly competitive funding and enduring commitment to
decarbonising shipping.” says Hafnia’s CFO Perry van Echtelt.
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For further information, please contact:
CEO Hafnia Limited
+65 8533 8900
Hafnia is one of the world’s leading oil product tanker owners and operators.
The Company provides transportation of oil and oil products to leading national
and international oil companies, major chemical companies, as well as trading
and utility companies. Hafnia operates a fleet of 184 vessels in pools,
including newbuilds. Among them, 101 are owned or chartered-in, including six
owned LR2s, 35 owned and chartered-in LR1s, 47 owned and chartered-in MRs and 13
owned Handy vessels. The Company is fully financed with a strong balance sheet
providing financial flexibility.
Hafnia has a solid history in chartering, operations, and technical management,
and strives to offer customers the best solution for their transportation needs.
This solution-focused approach has resulted in a strong reputation and the
Company remains firmly committed to being a responsible member of the industry
and operating according to the highest ethical standards.
Hafnia is a global company with offices in Singapore, Copenhagen, and Houston
and a presence in Mumbai. The Company is part of BW Group, an international
shipping group that has worked in oil and gas transportation, floating gas
infrastructure, environmental technologies, and deep-water production for over