Skip to main content

Diana Shipping to issue 5-year bonds

Diana reported in 2021 that the $125 million bonds were significantly oversubscribed

Diana Shipping Inc. addressed an invitation to stable investors to participate in the issuance of new five-year bonds.

The dry bulk carrier has already commissioned investment banks Fearnley Securities and Nordea Bank to organize a series of phone calls to investors aimed at issuing new five-year bonds.

The proceeds from the new bond issues will be used to fully repay the company’s existing US$125 million of bonds, which mature in June 2026 with an interest rate of 8.375%, while the remaining amount will be used for general corporate purposes.

Diana reported in 2021 that the $125 million bonds were significantly oversubscribed.

Diana Shipping Inc, which owns 38 bulkers, including four Newcastlemaxes and nine capsizes, expects to take delivery of two new dual-fuel methanol vessels in the second half of 2027 and the first half of 2028. These are two 81,200 dwt methanol Kamsarmax vessels dual-fuel, manufactured at the Tsuneishi Group, with a purchase price of US$46 million each.

The company had placed the order through an unrelated third party appointed by Marubeni Corporation.

Offshore wind farms

The US listed company Diana Shipping Inc has also signed an agreement for its participation in a joint venture (“Windward Offshore”), which is expected to take over the ownership and operation of offshore wind support vessels.

In the initial phase of the partnership, the consortium has ordered two high-end Commissioning Service Operation Vessels (CSOVs) and retains an option to acquire two additional vessels in a bid to lead the industry.

The two CSOVs will have a battery-powered hybrid propulsion system and will be prepared to run on green methanol.

It is noted that these types of vessels support the major energy groups worldwide in the construction, commissioning and maintenance of offshore wind farms.
The order was placed at the Norwegian shipyard Vard, a subsidiary of the Italian shipbuilding group Fincantieri.