Michael Moncroft's questions to NORDIC AMERICAN TANKERS (NAT) leadership • Q4 2016
Question
Michael Moncroft of MRM Capital asked for specifics on the amount borrowed under the credit facility, the cost of the three newbuilds, and the use of proceeds from a recent equity offering. He also questioned why insiders had not purchased more stock at its current lower price.
Answer
Chairman & CEO Herbjørn Hansson clarified that while the gross borrowing was $447 million, the company's net debt was very low. He confirmed the newbuilds cost in the mid-$50 million range per ship and were funded by the recent equity offering. Regarding insider purchases, Hansson explained they were in a blackout period and that his personal financial resources, while significant, are finite.