Textainer completes early repayment of $ 208 million pre-collateralized term loans

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Textainer Marine Containers VI Limited (TMCL VI), wholly owned indirect subsidiary Textainer Group, an intermodal container lessor, has repurchased approximately $ 208 million in total principal outstanding debt on senior secured term loans with an average interest rate of 4.3% and an original scheduled maturity in February 2025.

Textainer made a full repayment of approximately $ 11 million in accordance with the provisions for early repayment of term loans. In addition, the company has written off about $ 1 million of unamortized debt issuance costs. Full payments and write-offs will be recognized in Textainer’s third quarter earnings but will be excluded from its third quarter adjusted net income. Textainer used the borrowed funds under existing lines of credit at a lower cost to pay the outstanding principal of the urgent loans and in full.

“The early redemption of these bonds will help us further optimize our financing platform. In addition, we can also reduce our future effective interest rate by replacing the 4.3% term loans in the amount of US $ 208 million with our lines of credit at a lower cost. We look forward to more than fully recovering the full payment of this redemption through future interest savings, ”said Michael K. Chan, Textainer’s executive vice president and chief financial officer.

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