Signet Maritime refinances debt, receives federal small shipyard grant funding

• The company has arranged $132 million in debt refinancing while the Signet Maritime shipyard in Pascagoula is receiving close to $388,000 in federal funding through the U.S. Department of Transportation.

Signet Maritime is making financial moves to better position the shipbuilder for the future as it works to meet its increased workload.

First Citizens Bank this week announced that its Capital Equipment Finance business has arranged $132 million in debt refinancing for Signet Maritime Corporation, a marine transportation and logistics company headquartered in Houston, Texas with a location in Pascagoula, Mississippi.

According to the company, proceeds from the term loan are to repay and retire Signet Maritime’s existing first lien credit facility, to fund development capital expenditures and to pay related transaction fees and expenses.

Signet President, CEO, and Founder J. Barry Snyder retains 100% ownership of the company’s stock.

“Signet’s exceptional maritime expertise combined with our financial flexibility will allow our company to execute on numerous expansion initiatives over the next 14 months,” Snyder said in a statement. “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, handling container traffic on the U.S. East Coast and long-term maritime aerospace work from Port Canaveral. 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.”

In addition, it was announced this week that the Signet Maritime shipyard in Pascagoula will receive close to $388,000 in federal funding through the U.S. Department of Transportation. The federal agency is assisting shipyard across the U.S. through a $35 million Small Shipyard Grant program.

The Mississippi Coast shipyard will use the funds to purchase tools and equipment aimed at accelerating production and increasing the quality of their work.