SFL Corporation Launches NOK 750 Million Bond Offering
SFL Corporation Ltd. (NYSE: SFL) has made news by successfully issuing NOK 750 million in senior unsecured bonds, which are set to mature on September 25, 2029. This significant financial maneuver offers attractive terms, including a quarterly coupon that is linked to the three-month Norwegian Interbank Offered Rate (NIBOR), plus an additional margin of 3.25% per annum.
Utilization of Proceeds
The net proceeds from this bond issuance are earmarked for two key purposes. First and foremost, these funds will help redeem the existing NOK 600 million senior unsecured bonds that are due in January 2025. This forward-thinking strategy will enable SFL to manage its debts more effectively and strengthen its financial position. Additionally, the remaining funds will be used to support general corporate activities, which is crucial for the company to remain competitive and continue its growth.
Key Financial Partners
Successfully securing such a substantial bond issuance is no easy task, and SFL Corporation achieved this with the invaluable support of Arctic Securities, DNB Markets, and SEB, who served as Joint Bookrunners. In addition, Fearnley Securities and Pareto Securities played vital roles as co-managers, working together to ensure the success of this offering. Their extensive experience and market insight were key in attracting the right investors.
Redeeming Existing Bonds
In a notable update, SFL has officially informed Nordic Trustee AS of its decision to exercise the call option. This allows the company to redeem all its outstanding existing bonds, effectively managing its liabilities and paving the way for future financial strategies. Such a proactive move shows SFL's dedication to maintaining a strong capital structure.
About SFL Corporation
SFL Corporation Ltd. has established a strong reputation in the maritime industry. Since its listing on the New York Stock Exchange in 2004, the company has consistently provided dividends each quarter, highlighting its commitment to returning value to shareholders. With a diverse fleet that includes tanker vessels, bulkers, container ships, car carriers, and offshore drilling rigs, SFL showcases its versatility and ability to meet various market needs.
Long-Term Growth and Stability
Focusing on sustainable distribution capacity, SFL’s strategy is supported by a portfolio rich in long-term charters, which ensure income stability and enable ongoing growth. This strategy positions SFL well for future prospects while solidifying its role as a leader in the maritime sector.
Investor Relations Contact Information
SFL values open communication with its investors. For inquiries, you can reach Aksel Olesen, Chief Financial Officer, at +47 23 11 40 36; André Reppen, Chief Treasurer & Senior Vice President, at +47 23 11 40 55; and Marius Furuly, Senior Vice President - Energy, at +47 23 11 40 16. For media-related inquiries, contact Ole B. Hjertaker, Chief Executive Officer, at +47 23 11 40 11.
Frequently Asked Questions
What is the value of the bonds issued by SFL Corporation?
SFL Corporation successfully issued NOK 750 million in senior unsecured bonds.
What is the maturity date of the newly issued bonds?
The bonds are set to mature on September 25, 2029.
Who were the joint bookrunners for this bond issuance?
Arctic Securities, DNB Markets, and SEB served as the Joint Bookrunners for the bond offering.
How will the proceeds from the bond issuance be used?
The proceeds will be used to redeem existing bonds maturing in January 2025 and support general corporate purposes.
What is the history of SFL Corporation in dividend payments?
SFL Corporation has paid dividends every quarter since its listing on the New York Stock Exchange in 2004, demonstrating its commitment to shareholder returns.
