MPC Container Ships (MPCC) Investor Presentation summary

Transaction overview

• Contemplating a tap issuance of up to USD 75m under a USD 125m senior unsecured sustainability-linked bond, with proceeds for general corporate purposes, refinancing, or asset acquisitions.

• Pro forma leverage ratio of 0.7x, USD 1.1bn charter backlog, and 32% LTV post-transaction.

• Bonds mature October 2029, carry a 7.375% coupon, and include a sustainability performance target linked to fleet carbon efficiency.

• Financial covenants require minimum liquidity per vessel and a minimum 40% equity ratio.

• Bonds to be listed on Oslo Stock Exchange by July 2025.

Key credit highlights

• Leading position in intra-regional container shipping, with 59 vessels and #1 tonnage provider status in the <5.5k TEU segment.

• USD 1.1bn charter backlog, 92%/64% contract coverage for 2025/2026, and strong earnings visibility.

• Industry-low leverage (pro forma net debt/EBITDA ~0.7x), 61% equity ratio, and 37 debt-free vessels.

• Strategic focus on sustainability, with a USD 600m investment program for fleet renewal and efficiency.

• Strong charter market, rising asset values, and prudent fleet renewal strategy.

Market overview

• Specializes in the intra-regional feeder segment, serving global trade routes with a focus on vessels <8,000 TEU.

• Global container trade grew by 6% in 2024; GDP growth projected at 3.3% for 2025/2026.

• Intra-regional markets expected to see fleet stagnation and demand growth of ~3.4% in 2025/2026.

• Ageing fleet and low orderbook in the 1,000–8,000 TEU segment offer modernization potential.

• Charter rates remain robust due to low vessel availability and longer charter periods.