Danaos Corporation announces closing of comprehensive debt refinancing
Danaos Corporation, a leading international owner of containerships, has announced the consummation of its previously announced debt refinancing , significantly strengthening the Company's capital structure and reducing its outstanding debt by approximately $551 million.
The debt refinancing strengthens the company's financial position through the significant debt reduction, reset financial and certain other credit facility covenants, modified interest rates and amortization profiles and the extension of existing debt maturities by approximately five years to December 31, 2023.
In connection with this debt refinancing, the company issued 99,342,271 shares of common stock to certain of the company's lenders, representing 47.5% of the Company's outstanding common stock after such issuance, which diluted existing shareholders ratably.
Danaos Investment Limited has made various financial and operational commitments as part of the refinancing transactions, including a capital contribution to the Company at closing for which it did not receive any shares, which facilitated the transaction to the benefit of the company and all of its stakeholders. Danaos Investment Limited remains the company's largest stockholder following the transaction.
About Danaos Corporation
Danaos Corporation's fleet of 59 containerships aggregating 352,600 TEUs, including four vessels owned by Gemini Shipholdings Corporation, a joint venture, ranks Danaos among the largest containership charter owners in the world based on total TEU capacity.