Navios Maritime Acquisition Corporation Reports Financial Results for Q2 2011 and Six Months Ended June 30, 2011
PIRAEUS, GREECE, Aug 17, 2011 (MARKETWIRE via COMTEX)
Navios Maritime Acquisition Corporation (NYSE: NNA),
-- Quarterly dividend of $0.05 per share
-- Revenue of $26.0 million for Q2 2011
-- Adjusted EBITDA of $15.6 million for Q2 2011
-- Operational fleet increased by 12 vessels since Q2 2010
Angeliki Frangou, Chairman and Chief Executive Officer of Navios Acquisition, stated, "We have taken advantage of opportunity during a difficult period to build a robust tanker enterprise. As a sign of our continued confidence in the Company's cash flow, we announced another quarterly dividend of $.05 per share."
Ms. Frangou continued, "We are no longer a concept company. We have a modern, diverse tanker fleet of 26 vessels and are rapidly making our mark on a global scale. Thirteen vessels, half of our fleet, are operating and generating revenue and we expect to add two more new build product tankers this year. Our fleet, even in depressed market conditions, can operate well above break-even until 2016, when our first significant debt maturity arises. As a result, we can patiently await for our investment thesis in product tankers to mature."
HIGHLIGHTS -- RECENT DEVELOPMENTS
Dividend of $0.05 per share of common stock
On August 12, 2011, the Board of Directors of Navios Acquisition declared a quarterly cash dividend for the second quarter of 2011 of $0.05 per share of common stock. The dividend is payable on October 5, 2011 to stockholders of record as of September 22, 2011. The declaration and payment of any further dividends remains subject to the discretion of the Board and will depend on, among other things, Navios Acquisition's cash requirements as measured by market opportunities and restrictions under its credit agreements and other debt obligations and such other factors as the Board may deem advisable.
Fleet developments
Acquisition of two MR2 Product Tankers
On July 12, 2011, Navios Acquisition took delivery of the Bull, a 2009-built MR2 product tanker of 50,542 dwt. On July 18, 2011, Navios Acquisition took delivery of the Buddy, a 2009-built MR2 product tanker of 50,470 dwt. Both vessels are employed under long-term charter-out contracts with a remaining term of approximately three years at $22,490 net per day for the first year and $21,503 net per day for the remaining charter-out period. The acquisition of each vessel was financed through $15.0 million of cash and $27.4 million of debt.
Delivery of the VLCC tanker Shinyo Kieran On June 8, 2011, Navios Acquisition took delivery of a very large crude carrier ("VLCC") tanker of 297,066 dwt, the Shinyo Kieran, from a Chinese shipyard, for a total cost of $118.9 million. The vessel is chartered out for 15 years at a net rate of $48,153 per day with profit sharing.
Exercise of option to acquire two 75,000dwt LR1 new build vessels
On July 1, 2011, Navios Acquisition exercised its options to acquire two 75,000 dwt LR1 new build vessels, currently under construction in a South Korean shipyard with scheduled deliveries of one vessel in the fourth quarter of 2012 and one vessel in the first quarter of 2013, respectively. The contract price of each of the new build vessels is $40.5 million.
Financing Activities
Credit Facility
On July 8, 2011, Navios Acquisition entered into a loan agreement with ABN AMRO of up to $55.1 million (divided into two equal tranches) to partially finance the acquisition costs of two MR2 product tanker vessels. The total amount drawn as of August 12, 2011 was $54.8 million. Each tranche of the facility is repayable in 12 quarterly instalments of $0.75 million each and 12 quarterly instalments of $0.57 million each with a final balloon payment of $11.6 million to be repaid on the last repayment date. The repayment of each tranche starts in October 2011. It bears interest at a rate of LIBOR plus 325 bps. The loan also requires compliance with certain financial covenants.
Additional Mortgage Note Issuance
On May 26, 2011, Navios Acquisition and Navios Acquisition Finance (US) Inc., its wholly owned finance subsidiary, completed the sale of $105.0 million of 8 ?% first priority ship mortgage notes due 2017 (the "Additional Notes") at 102.25% plus accrued interest from May 1, 2011.
The Additional Notes are identical to the $400.0 million of notes issued in October 2010 (the "Existing Notes") and are secured by first priority ship mortgages on seven VLCC vessels (including the VLCC that was delivered in June 2011) owned by certain subsidiary guarantors.
The net proceeds of the offering of $105.4 million were used to partially finance the acquisition of the VLCC Shinyo Kieran delivered on June 8, 2011 and to repay the $80.0 million revolving credit facility with Marfin Egnatia Bank.
Full report at: http://www.navios-acquisition.com/
Source: Navios Maritime Acquisition Corporation