Signet Maritime Corp., Houston, announced today that it closed a $140 million credit facility with Riverstone Credit Partners L.P., a dedicated energy and power credit fund managed by Riverstone Holdings LLC.
Proceeds from the term loan will repay and retire Signet's existing first lien credit facility, to fund development capital expenditures, and pay related transaction fees and expenses. This financing transaction was solely led and arranged by Riverstone.
Signet retains 100% stock ownership by its President and CEO J. Barry Snyder. “Signet’s exceptional maritime expertise combined with our financial flexibility will allow Signet to execute on numerous expansion initiatives over the next 18 months,” said Snyder. “This recapitalization, along with Signet’s advantageous positioning within our ports of operation, allows us to support the growing exports of crude oil and natural gas from the U.S. Gulf Coast. We look forward to continuing to provide reliable and safe service to our existing and new customers and the local communities in which we operate.”
“Our capital commitment to Signet reflects the confidence we have in the company’s future and their operational excellence,” said Jamie Brodsky of Riverstone Credit. “We are pleased to partner with Signet and support their growth going forward. Signet’s best-in-class fleet and embedded market position enables them to effectively service their increasing customer base and strong backlog of activity.”
"We are very pleased to partner with Riverstone in this new credit facility," said Jerome P. Loughren, chief financial officer of Signet. “By completing this transaction, we have fully satisfied our near-term maturities while adding additional liquidity to the balance sheet.”
Since 1976, Signet Maritime has provided marine transportation and logistics services to customers worldwide. The company operates a diverse fleet of tugs specifically designed for multi-disciplinary work including ship-assist, ship escort, towing, offshore support, subsea and rig moves. Signet’s shipyard provides construction, repair and engineering services to the maritime industry. It’s strategically located along the Pascagoula River with direct access to the Gulf of Mexico, and is capable of drydocking seven vessels simultaneously. The $7.5-million infrastructure expansion enables total construction in a protected environment with 600-ton Marine Travelift.
Signet operates 42 owned and bareboat-chartered vessels, including ocean and harbor tugs, ocean heavy lift deck barges and inland deck barges. The average age of Signet’s fleet is 11 years.