INTERNATIONAL SEAWAYS, INC. : Termination of a material definitive agreement, creation of a direct financial obligation or obligation under an off-balance sheet arrangement of a holder, other events (Form 8-K)
Item 1.02 Termination of a Material Definitive Agreement.
Item 2.03 Creation of a Direct Financial Obligation or an Obligation under a
Off-Balance Sheet Arrangement of a Registrant.
Information included in Item 8.01 is incorporated by reference in this Item 2.03.
Item 8.01 Other Events.
(A) Dissolution of the NT Suez joint venture, loan repayment and entry into credit
Branch, as lender, administrative agent, guarantee agent and security trustee. The Credit Agreement is guaranteed by a first lien on the
The Credit Agreement contains customary representations, warranties, restrictions and covenants applicable to the Guarantors and their respective subsidiaries (including the Borrower). These include financial covenants aligned with the Company’s existing senior secured debt facilities and require, among other things, that the Company maintain a minimum level of liquidity; not to exceed a maximum consolidated leverage ratio; ensure that current assets exceed current liabilities; and ensure that the fair market value of the vessel is not less than 135% of the total principal amount outstanding on the loan under the credit agreement, in each case as further detailed in the credit agreement.
The Company used substantially all of the proceeds of the loan under the credit agreement to repay approximately half of the amount outstanding under the NT Suez facility (approximately
(B) Sale and leaseback transactions relating to the new construction of dual fuel LNG VLCCs
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