Dubai: United Arab Shipping Company (UASC) Sunday said it has concluding a multi-currency $275 million (Dh1 billion) term loan facility on a ‘club deal' basis.
The funds have been secured to finance UASC's acquisition of three A13-type container vessels, each with a capacity of 13,100 TEU (twenty-foot equivalent unit). These, together with an additional six A13s, will complete the company's new building order of nine 13,100 TEU container vessels ordered from Samsung Heavy Industries shipyard in South Korea, valued at $1.5 billion.
These ships will be equipped with the latest waste heat recovery technology, making them among the "greenest" ships available on the market, demonstrating UASC's commitment to reduce and limit carbon dioxide emissions.
Qatar National Bank was the mandated lead arranger and coordinating bank, br inging in Burgan Bank (Kuwait), the Commercial Bank of Qatar and Doha Bank as lead arrangers and Al Khaliji Commercial Bank as arranger for this important cross-border GCC transaction. QNB is also the documentation agent, facility agent, security agent and the account bank, while BNP Paribas (Suisse) is the structuring bank.
Jørn Hinge, president and chief executive of UASC, said, "With this facility, UASC will finance three of the nine A13-type container vessels currently on order.
"We at UASC recognise the effort to conclude this senior facility by leading banks from the GCC as a token of trust in UASC's solid foundation, sound performance and strong future prospects within the current challenging market environment."
"By the time the entire new building order is delivered, UASC will have substantially increased its fleet capacity," Hing said.
Expansion
$275m term loan facility on a ‘club deal' basis
$1.5b total value of order from Samsung Heavy Industries
