UASC secures loans for three more 13,100-TEU ships

UNITED Arab Shipping Company (UASC) has signed a ship finance agreement worth US$275 million. The multi-currency $275 million term loan was secured on a "club deal" basis, reports Gulfnews.com.

It said the funds will be used to finance UASC's acquisition of a further three 13,100-TEU ships ordered from Samsung Heavy Industries.

The carrier is said to have already ordered six 13,100 TEU ships from Samsung Heavy Industries shipyard in South Korea, bringing the total order to nine A13-type containerships with a combined value of $1.5 billion.

"With this facility, UASC will finance three of the nine A13-type container vessels currently on order," said UASC president and CEO Jorn Hinge.

The report said these mega ships will be equipped with the latest waste heat recovery technology, making them among the "greenest" ships available on the market.

"Qatar National Bank was the mandated lead arranger and coordinating bank, bringing 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 (Gulf Cooperation Council) transaction. QNB is also the documentation agent, facility agent, security agent and the account bank, while BNP Paribas (Suisse) is the structuring bank," it said.

"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," said Mr Hinge.

"By the time the entire new building order is delivered, UASC will have substantially increased its fleet capacity," he added.

Source: www.schednet.com