| Interest-bearing loans and borrowings | Interest-bearing loans and borrowings (in thousands of USD) Bank loans Other notes Lease liabilities Other borrowings Total More than 5 years 628,711 — 1,652 — 630,363 Between 1 and 5 years 545,233 198,571 41,509 107,978 893,291 More than 1 year 1,173,944 198,571 43,161 107,978 1,523,654 Less than 1 year 49,507 — 32,463 139,235 221,205 At January 1, 2020 1,223,451 198,571 75,624 247,213 1,744,859 New loans 630,000 — 25,703 263,827 919,530 Scheduled repayments (88,989) — (34,492) (371,021) (494,502) Early repayments (905,000) (1,000) — — (906,000) Other changes (2,602) 708 — — (1,894) Translation differences — — 86 11,334 11,420 Balance at December 31, 2020 856,860 198,279 66,921 151,353 1,273,413 More than 5 years 631,044 — — — 631,044 Between 1 and 5 years 205,274 198,279 21,172 100,056 524,781 More than 1 year 836,318 198,279 21,172 100,056 1,155,825 Less than 1 year 20,542 — 45,749 51,297 117,588 Balance at December 31, 2020 856,860 198,279 66,921 151,353 1,273,413 Bank loans Other notes Lease liabilities Other borrowings Total More than 5 years 631,044 — — — 631,044 Between 1 and 5 years 205,274 198,279 21,172 100,056 524,781 More than 1 year 836,318 198,279 21,172 100,056 1,155,825 Less than 1 year 20,542 — 45,749 51,297 117,588 At January 1, 2021 856,860 198,279 66,921 151,353 1,273,413 New loans 937,825 200,000 24,729 371,755 1,534,309 Scheduled repayments (27,232) — (52,550) (316,069) (395,851) Early repayments (567,000) (131,800) — (698,800) Other changes 4,695 (2,559) — — 2,136 Translation differences — — (49) (2,978) (3,027) Balance at December 31, 2021 1,205,148 263,920 39,051 204,061 1,712,180 More than 5 years 102,419 — 74 — 102,493 Between 1 and 5 years 1,073,416 196,895 16,685 86,198 1,373,194 More than 1 year 1,175,835 196,895 16,759 86,198 1,475,687 Less than 1 year 29,313 67,025 22,292 117,863 236,493 Balance at December 31, 2021 1,205,148 263,920 39,051 204,061 1,712,180 The amounts shown under "New Loans" and "Early Repayments" related to bank loans include drawdowns and repayments under revolving credit facilities during the year. The amounts shown under "New Loans" related to lease liabilities is mainly attributable to the sale and leaseback agreement for the VLCC Newton . In accordance with IFRS, the Group recognized a lease liability of $23.4 million. For more details, see Note 8. Bank Loans On August 19, 2015, the Group entered into a $750.0 million senior secured amortizing revolving credit facility with a syndicate of banks. The facility is available for the purpose of (i) refinancing 21 vessels; (ii) financing four newbuilding VLCCs vessels as well as (iii) Euronav's general corporate and working capital purposes. The credit facility will mature on 1 July 2022 and carries a rate of LIBOR plus a margin of 195 bps. As of December 31, 2021 and December 31, 2020, the outstanding balance under this facility was $0.0 million and $0.0 million, respectively. This facility is currently secured by eight of our wholly-owned vessels. On December 16, 2016, the Group entered into a $409.5 million senior secured amortizing revolving credit facility for the purpose of refinancing 11 vessels as well as Euronav's general corporate purposes. The credit facility was used to refinance the $500 million senior secured credit facility dated March 25, 2014 and will mature on January 31, 2023 carrying a rate of LIBOR plus a margin of 2.25%. Following the sale and lease back of the VLCC Nautica , Nectar and Noble in December 2019, the total revolving credit facility was reduced by $56.9 million. As of December 31, 2021 and December 31, 2020, the outstanding balance on this facility was $65.0 million and $65.0 million, respectively. The credit facility is secured by seven vessels. On January 30, 2017, the Group signed a loan agreement for a nominal amount of $110.0 million with the purpose of financing the Ardeche and the Aquitaine . On April 25, 2017, following a successful syndication, the loan was replaced with a new Korean Export Credit facility for a nominal amount of $108.5 million with Korea Trade Insurance Corporation (K-sure) as insurer. The new facility is comprised of (i) a $27.1 million commercial tranche, which bears interest at LIBOR plus a margin of 1.95% per annum and (ii) a $81.4 million tranche insured by K-sure which bears interest at LIBOR plus a margin of 1.50% per annum. The facility is repayable over a term of 12 years, in 24 installments at successive six Ardeche and the Aquitaine . The facility agreement also contains a provision that entitles the lenders to require us to prepay to the lenders, on January 12, 2024, with 180 days’ notice, their respective portion of any advances granted to us under the facility. The facility agreement also contains provisions that allow the remaining lenders to assume an outgoing lender’s respective portion(s) of the advances made to us or to allow us to suggest a replacement lender to assume the respective portion of such advances. On March 22, 2018, the Group signed a senior secured credit facility for an amount of $173.6 million with Kexim, BNP and Credit Agricole Corporate and Investment bank acting also as Agent and Security Trustee. The purpose of the loan was to finance up to 70 per cent of the aggregate contract price of the four Ice Class Suezmax vessels that were delivered over the course of 2018. The new facility was comprised of (i) a $69.4 million commercial tranche, which bears interest at LIBOR plus a margin of 2.0% per annum and (ii) a $104.2 million ECA tranche which bears interest at LIBOR plus a margin of 2.0% per annum. The commercial tranche is repayable by 24 equal consecutive semi-annual installments, each in the amount of $0.6 million per vessel together with a balloon installment of $3.5 million payable with the 24th and last installment on August 24, 2030. The ECA tranche is repayable by 24 consecutive semi-annual installments, each in the amount of $1.1 million per vessel and last installment on August 24, 2030. Transaction costs for a total amount of $1.6 million are amortized over the lifetime of the instrument using the effective interest rate method. As of December 31, 2021 and December 31, 2020, the outstanding balance on this facility was $130.3 million and $143.6 million, respectively. Lenders of the facility have a put option on the 7th anniversary of the facility, for which a notice has to be served 13 months in advance requesting a prepayment of their remaining contribution. After receiving notice, the Group will have to either repay the relevant contribution on the 7th year anniversary or to transfer this contribution to another acceptable lender. The put option can only be exercised if the employment of the vessel at that time is not satisfactory to the lenders. On September 7, 2018, the Group signed a senior secured credit facility for an amount of $200.0 million. The Group used the proceeds of this facility to refinance all remaining indebtedness under the $581.0 million senior secured loan facility, the $67.5 million secured loan facility (Larvotto), and the $76.0 million secured loan facility (Fiorano). This facility is secured by nine of our wholly-owned vessels. This revolving credit facility is reduced in 12 installments of consecutive six-month interval and a final $55.0 million repayment is due at maturity in 2025. This facility bears interest at LIBOR plus a margin of 2.0% per annum plus applicable mandatory costs. As of December 31, 2021 and December 31, 2020, the outstanding balance on this facility was $55.0 million and $55.0 million, respectively. On June 27, 2019, the Group entered into a $100.0 million senior secured amortizing revolving credit facility with a syndicate of banks of which ABN Amro Bank also acting as Coordinator, Agent and Security Trustee. The facility, secured by the Oceania and the bunker inventory bought in anticipation of the new IMO legislation starting in January 1, 2020, was due to mature on December 31, 2021 and carried a rate of LIBOR plus a margin of 2.10%. On June 30, 2021, the Group terminated the facility. As of December 31, 2020, the outstanding balance on this facility was $0.0 million and was not used any longer during the first half year of 2021. On August 28, 2019, the Group entered into a $700.0 million senior secured amortizing revolving credit facility with a syndicate of banks and Nordea Bank Norge SA acting as Agent and Security Trustee for the purpose of refinancing all remaining indebtedness under the $633.5 million senior secured loan facility. The credit facility will mature on January 31, 2026 carrying a rate of LIBOR plus margin of 1.95%. The facility is secured by 13 of our wholly-owned vessels. As of December 31, 2021 and December 31, 2020, the outstanding balance on this facility was $370.0 million and $345.0 million, respectively. On September 11, 2020, the Group entered into a $713.0 million sustainability-linked loan with specific targets to emission reduction. This facility is secured by 16 of our wholly-owned vessels, 13 VLCCs and three Suezmaxes. The credit facility will mature on March 31, 2026 and carries a rate of LIBOR plus a margin of 2.35%. The facility consist of (i) a revolver of $469.0 million to refinance the $340.0 million senior secured credit facility and part of the $750.0 million senior secured credit facility and (ii) a term loan of $244.0 million to finance the acquisition of four newbuilding VLCCs which were delivered in the first quarter of 2021. The revolver commitment includes terms with specific targets to reduce our GHG emissions with compliance being rewarded with a reduced interest coupon by five basis points. As of December 31, 2021 and December 31, 2020, the outstanding balance on this facility was $524.1 million and $185.0 million, respectively. On April 7, 2021, the Group entered into an 80 million Euro ($100 million) unsecured revolving credit facility. This new facility has been concluded with a range of commercial banks and the support of Gigarant, with sustainability and emission reductions as a component of the margin pricing. A range of measurable sustainability features such as year-on-year reduction in carbon emissions starting from 2021 will be supported by compliance with the Poseidon principles. The facility will have a duration of minimum three years, with two one-year extension options. As of December 31, 2021, the outstanding balance on this facility was $0.0 million. On December 2, 2021, the Group entered into a secured $73.45 million sustainability-linked loan at LIBOR to finance two newbuilding Suezmaxes which have been delivered in the first quarter of 2022. The loan has been concluded with DNB and includes sustainability and emission reductions as a component of the margin pricing. The conclusion of this funding brings facilities with an integrated sustainability component to 41% of Euronav’s commercial bank financing. The facility will have a duration of six years. As of December 31, 2021, the outstanding balance on this facility was $0.0 million. Undrawn borrowing facilities At December 31, 2021, Euronav and its fully-owned subsidiaries have undrawn credit line facilities amounting to $595.3 million (2020: $940.4 million), of which $169.8 million will mature within 12 months. Terms and debt repayment schedule The terms and conditions of outstanding loans were as follows: (in thousands of USD) December 31, 2021 December 31, 2020 Curr Nominal interest rate Year of mat. Facility size Drawn Carrying value Facility size Drawn Carrying value Secured vessels Revolving loan 750M* USD LIBOR + 1.95% 2022 8,474 — (231) 45,958 — (871) Secured vessels Revolving loan 409.5M* USD LIBOR + 2.25% 2023 125,880 65,000 64,544 175,605 65,000 63,997 Secured vessels loan 27.1M USD LIBOR + 1.95% 2029 25,102 25,102 25,102 25,554 25,554 25,554 Secured vessels loan 81.4M USD LIBOR + 1.50% 2029 50,883 50,883 49,454 57,667 57,667 55,918 Secured vessels loan 69.4M USD LIBOR + 2.0% 2030 54,379 54,379 54,379 59,007 59,007 59,007 Secured vessels loan 104.2M USD LIBOR + 2.0% 2030 75,928 75,928 75,071 84,606 84,606 83,562 Secured vessels Revolving loan 200.0M* USD LIBOR + 2.0% 2025 123,032 55,000 54,245 148,688 55,000 53,876 Secured vessels Revolving loan 100.0M* USD LIBOR + 2.10% 2021 — — — 100,000 — (479) Secured vessels Revolving loan 700.0M* USD LIBOR + 1.95% 2026 602,320 370,000 364,987 651,160 345,000 338,765 Secured vessels Revolving loan 713.0M* USD LIBOR + 2.35% 2026 649,695 524,135 518,568 469,000 185,000 177,529 Secured vessels loan 73.45M USD LIBOR + 1.80% 2028 — — (508) — — — Unsecured Revolving loan 80M EUR LIBOR + 1.50% 2026 100,000 — (463) — — — Total interest-bearing bank loans 1,815,693 1,220,428 1,205,148 1,817,246 876,834 856,860 * The total amount available under the revolving loan Facilities depends on the total value of the fleet of tankers securing the facility. The facility size of the vessel loans can be reduced if the value of the collateralized vessels falls under a certain percentage of the outstanding amount under that loan. For further information, we refer to Note 19. Other notes (in thousands of USD) December 31, 2021 December 31, 2020 Curr Nominal interest rate Year of mat. Facility size Drawn Carrying value Facility size Drawn Carrying value Unsecured notes USD 7.50% 2022 67,200 67,200 67,025 200,000 199,000 198,279 Unsecured notes USD 6.25% 2026 200,000 200,000 196,895 — — — Total other notes 267,200 267,200 263,920 200,000 199,000 198,279 On June 14, 2019, the Group successfully completed a tap issue of $50 million under its existing senior unsecured bonds. The bonds have the same maturity date and carry the same coupon of 7.50%. The tap issue was priced at 101% of par value. Arctic Securities AS, DNB Markets and Nordea acted as joint lead managers in connection with the placement of the tap issue. The related transaction costs of $675,000 are amortized over the lifetime of the instrument using the effective interest rate method as well as the above par issuance of $500,000. In the course of the first quarter of 2020, the company bought back 10 notes of its $200 million fixed rate senior unsecured notes, due 2022. The face value of each cash bond is $100,000 and the company paid an average of $85,000. On September 2, 2021, the Group announced a successful placement of a new $200 million senior unsecured bonds. The bonds mature in September 2026 and carry a coupon of 6.25%. An application has been made for the bonds to be listed on Oslo Stock Exchange. The related transaction costs of $3.3 million are amortized over the lifetime of the instrument using the effective interest rate method. The net proceeds from the bond issue will be used for general corporate purposes and/or refinancing of the existing $200 million bond (ISIN: NO0010793888) maturing in May 2022. As part of this transaction Euronav bought back $132 million of the $200 million senior bonds issued in 2017 and due to mature in May 2022. DNB Markets, Nordea, SEB and Arctic Securities AS acted as joint bookrunners in connection with the placement of the bond issue. On March 18, 2022, the Financial Supervisory Authority of Norway approved the listing on the Oslo Stock Exchange of Euronav Luxembourg S.A.’s $200 million senior unsecured bonds due September 2026. Other borrowings On June 6, 2017, the Group signed an agreement with BNP to act as dealer for a Treasury Notes Program with a maximum outstanding amount of 50 million Euro. On October 1, 2018, KBC has been appointed as an additional dealer in the agreement and the maximum amount has been increased from 50 million Euro to 150 million Euro. As of December 31, 2021, the outstanding amount was $104.0 million or 91.8 million Euro (December 31, 2020: $38.7 million or 31.5 million Euro). The Treasury Notes are issued on an as needed basis with different durations not exceeding 1 year, and initial pricing is set to 60 bps over Euribor. The company enters into FX forward contracts to manage the currency risks related to these instruments issued in Euro compared to the USD Group functional currency. The FX contracts have the same nominal amount and duration as the issued Treasury Notes and they are measured at fair value with changes in fair value recognized in the consolidated statement of profit or loss. On December 31, 2021, the fair value of these forward contracts amounted to $(2.9) million (December 31, 2020: $1.2 million). On December 30, 2019, the Company entered into a sale and leaseback agreement for three VLCCs. The three VLCCs are the Nautica (2008 – 307,284), Nectar (2008 – 307,284) and Noble (2008 – 307,284). The vessels were sold and were leased back under a 54-months bareboat contract at an average rate of $20,681 per day per vessel. In accordance with IFRS, this transaction was not accounted for as a sale but Euronav as seller-lessee will continue to recognize the transferred assets, and recognized a financial liability equal to the net transfer proceeds of $124.4 million. As of December 31, 2021, the outstanding amount was $100.1 million. At the end of the bareboat contract, the vessels will be redelivered to their new owners. Euronav may, at any time on and after the 1st anniversary, notify the owners by serving an irrevocable written notice at least three months prior to the proposed purchase option date of the charterers' intention to terminate this charter on the purchase option date and purchase the vessel from the owners for the applicable purchase option price. The future lease payments for these leaseback agreements are as follows: (in thousands of USD) December 31, 2021 December 31, 2020 Less than one year 22,667 22,667 Between one and five years 33,878 56,545 Total future lease payables 56,545 79,211 Transaction and other financial costs The heading 'Other changes' in the first table of this footnote reflects the recognition of directly attributable transaction costs as a deduction from the fair value of the corresponding liability, and the subsequent amortization of such costs. In 2021, the Group recognized $6.6 million of amortization of financing costs. The Group recognized $0.6 million of directly attributable transaction costs as a deduction from the fair value of the 80.0 million Euro unsecured revolving credit facility entered into April 7, 2021 and $0.5 million of directly attributable transaction costs as a deduction from the fair value of the $73.45 million secured sustainability linked loan entered into December 2, 2021. Interest expense on financial liabilities measured at amortized cost decreased during the year ended December 31, 2021, compared to 2020 (2021: $(-58.0) million, 2020: $(-60.6) million). Other financial charges increased in 2021 compared to 2020 (2021: $(-14.3) million, 2020: $(-9.9) million) which was mainly due to the repayment of the Nordic bond above pari during 2021. Interest on lease liabilities (2021: $(-2.4) million, 2020: $(-3.3) million) were recognized due to the adoption of IFRS 16 on January 1, 2019 (see Note 1.20). Reconciliation of movements of liabilities to cash flows arising from financing activities Liabilities Equity Loans and borrowings Other Notes Other borrowings Lease liabilities Share capital / premium Reserves Treasury shares Retained earnings Total Balance at January 1, 2020 1,223,451 198,571 247,213 75,624 1,941,697 (4,284) (45,616) 420,058 4,056,714 Changes from financing cash flows Proceeds from loans and borrowings (Note 16) 630,000 — — — — — — — 630,000 Proceeds from issue of other borrowings (Note 16) — — 263,827 — — — — — 263,827 Purchase treasury shares (Note 14) — — — — — — (118,488) — (118,488) Repayment of sale and leaseback agreement (Note 16) — — (22,853) — — — — — (22,853) Transaction costs related to loans and borrowings (Note 16) (8,083) — — — — — — — (8,083) Repayment of borrowings (Note 16) (993,989) (1,000) — — — — — — (994,989) Repayment of commercial paper (Note 16) — — (359,295) — — — — — (359,295) Repayment of lease liabilities (Note 16) — — — (37,779) — — — — (37,779) Dividend paid — — — — — — — (352,041) (352,041) Total changes from financing cash flows (372,072) (1,000) (118,321) (37,779) — — (118,488) (352,041) (999,701) Other changes Liability-related Amortization of transaction costs (Note 16) 5,481 787 — — — — — — 6,268 Amortization of above par issuance (Note 16) — (175) — — — — — — (175) Amortization of below par issuance (Note 16) — 96 — — — — — — 96 New leases (Note 16) — — — 25,703 — — — — 25,703 Interest expense (Note 6) — — 11,127 3,287 — — — — 14,414 Translation differences (Note 16) — — 11,334 86 — — — — 11,420 Total liability-related other changes 5,481 708 22,461 29,076 — — — — 57,726 Total equity-related other changes (Note 14) — — — — — (2,237) — 472,697 470,460 Balance at December 31, 2020 856,860 198,279 151,353 66,921 1,941,697 (6,521) (164,104) 540,714 3,585,199 Liabilities Equity Loans and borrowings Other Notes Other borrowings Lease liabilities Share capital / premium Reserves Treasury shares Retained earnings Total Balance at January 1, 2021 856,860 198,279 151,353 66,921 1,941,697 (6,521) (164,104) 540,714 3,585,199 Changes from financing cash flows Proceeds from loans and borrowings (Note 16) 937,825 200,000 — — — — — — 1,137,825 Proceeds from issue of other borrowings (Note 16) — — 371,755 — — — — — 371,755 Repayment of sale and leaseback liability (Note 16) — — (22,667) — — — — — (22,667) Transaction costs related to loans and borrowings (Note 16) (1,122) (3,300) — — — — — — (4,422) Repayment of borrowings (Note 16) (594,232) (131,800) — — — — — — (726,032) Repayment of commercial paper (Note 16) — — (303,426) — — — — — (303,426) Repayment of lease liabilities (Note 16) — — — (54,928) — — — — (54,928) Dividend paid — — — — — — — (24,212) (24,212) Total changes from financing cash flows 342,471 64,900 45,662 (54,928) — — — (24,212) 373,893 Other changes Liability-related Amortization of transaction costs (Note 16) 5,817 887 — — — — — — 6,704 Amortization of above par issuance (Note 16) — (174) — — — — — — (174) Amortization of below par issuance (Note 16) — 28 — — — — — — 28 New leases (Note 16) — — — 24,729 — — — — 24,729 Interest expense (Note 6) — — 10,024 2,378 — — — — 12,402 Translation differences (Note 16) — — (2,978) (49) — — — — (3,027) Total liability-related other changes 5,817 741 7,046 27,058 — — — — 40,662 Total equity-related other changes (Note 14) — — — — — 9,370 — (336,362) (326,992) Balance at December 31, 2021 1,205,148 263,920 204,061 39,051 1,941,697 2,849 (164,104) 180,140 3,672,762 |
