UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C.
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
Pursuant to Rule 13a-16 or 15d-16
under the Securities Exchange Act of 1934
For the month of June 2020
COMMISSION FILE NUMBER: 001-33373
CAPITAL PRODUCT PARTNERS L.P.
(Translation of registrant’s name into English)
3 Iassonos Street
Piraeus, 18537 Greece
(Address of principal executive offices)
Indicate by check mark whether the Registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F ☒ Form 40-F ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ☐
On May 27, 2020, Capital Product Partners L.P. issued a press release announcing the successful refinancing of three 9,000 TEU container vessels.
On June 9, 2020, Capital Product Partners L.P. issued a press release announcing the extension of three period charters and new employment for M/V Akadimos.
Copies of the press releases are attached as Exhibit I and II hereto, respectively.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| CAPITAL PRODUCT PARTNERS L.P. | ||||||||
| Dated: June 10, 2020 | By: | Capital GP L.L.C., its general partner | ||||||
| /s/ Gerasimos (Jerry) Kalogiratos | ||||||||
| Name: | Gerasimos (Jerry) Kalogiratos | |||||||
| Title: | Chief Executive Officer of Capital GP L.L.C. | |||||||
Exhibit I
CAPITAL PRODUCT PARTNERS L.P. ANNOUNCES THE SUCCESSFUL REFINANCING OF THREE 9,000 TEU CONTAINER VESSELS GENERATING $38.8 MILLION OF ADDITIONAL LIQUIDITY.
ATHENS, GREECE — (GLOBENEWSWIRE) – 05/27/20 — Capital Product Partners L.P. (the “Partnership,” “CPLP” or “we” / “us”) (NASDAQ: CPLP), an international owner of ocean-going vessels, today announced the successful closing of the refinancing of its three 9,000 TEU container vessels.
The Partnership today completed the previously announced refinancing with ICBC Financial Leasing Co., Ltd. (“ICBCFL”) for the sale and lease back of three vessels previously mortgaged under our 2017 credit facility, namely the CMA CGM Amazon, the CMA CGM Uruguay and the CMA CGM Magdalena, for a total amount of $155.4 million. The repayment amount under the 2017 credit facility was $116.5 million and as a result the refinancing has generated an additional $38.8 million of liquidity (before debt issuance costs) for the Partnership. The lease has a duration of 7 years and includes mandatory purchase obligations for the Partnership to repurchase the vessels on expiration at the predetermined price of $77.7 million in total. Total debt amortization after the partial refinancing under the ICBCFL lease and the 2017 credit facility will amount to $27.4 million per year compared to $30.8 million previously paid under the 2017 credit facility, while the lease bears a lower margin compared to the 2017 credit facility
About Capital Product Partners L.P.
Capital Product Partners L.P. (NASDAQ: CPLP), a Marshall Islands master limited partnership, is an international owner of ocean-going vessels. CPLP currently owns 14 vessels, including thirteen Neo-Panamax container vessels and one capesize bulk carrier.
For more information about the Partnership, please visit: www.capitalpplp.com .
CPLP-F
Contact Details:
Capital GP L.L.C.
Jerry Kalogiratos
CEO
Tel. +30 (210) 4584 950
E-mail: j.kalogiratos@capitalpplp.com
Capital GP L.L.C.
Nikos Kalapotharakos
CFO
Tel. +30 (210) 4584 950
E-mail: n.kalapotharakos@capitalmaritime.com
Investor Relations / Media
Nicolas Bornozis
Capital Link, Inc. (New York)
Tel. +1-212-661-7566
E-mail: cplp@capitallink.com
Source: Capital Product Partners L.P.
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Exhibit II
CAPITAL PRODUCT PARTNERS L.P. ANNOUNCES THE EXTENSION OF THREE PERIOD CHARTERS AND NEW EMPLOYMENT FOR M/V ‘AKADIMOS’
ATHENS, GREECE — (GLOBENEWSWIRE) – 06/09/20 — Capital Product Partners L.P. (the “Partnership,” “CPLP” or “we” / “us”) (NASDAQ: CPLP), an international owner of ocean-going vessels, today announced that it has agreed to extend the three long-term time charters with Hapag-Lloyd by two additional years and secured short term employment for the MV ‘Akadimos’ (ex M/V ‘CMA CGM Amazon’).
The Partnership has agreed to extend with effect from June 1, 2020 the time charters currently in place for the vessels M/V ‘Athos’, the M/V ‘Aristomenis’ and the M/V ‘Athenian’ for two additional years. The vessels will earn a daily rate of $25,950 per day (from $27,000 per day previously earned), increasing to $26,950 per day (from $28,000 per day), for the M/V Aristomenis from October 2020, and from July 2021 onwards for the M/V Athos and the M/V Athenian. The time charters will expire at the earliest in April 2026 and include two one-year options at $31,450 and $32,450 gross per day, respectively.
Furthermore, the M/V ‘Akadimos’ secured short time charter employment with a liner operator for a period of about 80 days. The new charter is expected to commence in early July 2020 after the vessel passes its scheduled special survey.
As a result, the Partnership’s charter coverage for the remainder of 2020 and for 2021 has changed to 88% and 73%, respectively and the remaining charter duration to 5.0 years.
“Management commentary”
“Despite the adverse market conditions, we are pleased to have extended the period employment of three of our vessels at an attractive long-term day rate, thus, enhancing the Partnership’s cash flow visibility. In addition, and in view of our expectations for improved demand for container vessels as the global economy recovers from the Covid-19 economic shock, we have elected to employ the M/V ‘Akadimos’ on short term employment. While the charter rate is significantly lower compared to the vessel’s previous employment, the short duration of the charter will allow us to take advantage of a potential recovery in global trade and charter rates over the coming months.”
About Capital Product Partners L.P.
Capital Product Partners L.P. (NASDAQ: CPLP), a Marshall Islands master limited partnership, is an international owner of ocean-going vessels. CPLP currently owns 14 vessels, including thirteen Neo-Panamax container vessels and one capesize bulk carrier.
For more information about the Partnership, please visit: www.capitalpplp.com .
CPLP-F
Contact Details:
Capital GP L.L.C.
Jerry Kalogiratos
CEO
Tel. +30 (210) 4584 950
E-mail: j.kalogiratos@capitalpplp.com
Capital GP L.L.C.
Nikos Kalapotharakos
CFO
Tel. +30 (210) 4584 950
E-mail: n.kalapotharakos@capitalmaritime.com
Investor Relations / Media
Nicolas Bornozis
Capital Link, Inc. (New York)
Tel. +1-212-661-7566
E-mail: cplp@capitallink.com
Source: Capital Product Partners L.P.
2