International Seaways (INSW) has refinanced six very large crude carriers (VLCCs) via a sale & leaseback transaction with Oslo Stock Exchange-listed Ocean Yield. Part of the US$375 million paid by Ocean Yield will be used to replace the original US$228 million facility from Sinosure that was put in place for the six ships, which were built at the Shanghai Waigaoqiao yard in 2016.

The loans were originally provided by Sinosure, Export-Import Bank of China, Bank of China and Citibank.

“This attractive transaction enables us to further diversify our capital structure with long-term financing with terms that harmonize well with those in our other corporate loans, while unlocking additional liquidity," says INSW chief financial officer Jeff Pribor.

The lease and charter agreements for the six 300,000 DWT VLCCs (Seaways Tybee, Seaways Triton, Seaways Cape Henry, Seaways Hendricks, Seaways Liberty, and Seaways Diamond Head) are for a period of 10 years with purchase obligations at expiry with terms and conditions in line with INSW's existing debt facilities.

International Seaways, listed on the New York Stock Exchange, is one of the world's largest tanker companies providing transportation services for crude oil and petroleum products. It owns and operates a fleet of 92 vessels.

In July INSW completed its previously announced merger with Diamond S Shipping, which was also listed on the NYSE.