Estonia, EU – Baltic States, Financial Services, Port, Transport

International Internet Magazine. Baltic States news & analytics Tuesday, 22.10.2019, 12:04

Tallink borrows EUR 197.6 mln for acquisition of LNG powered ferry

BC, Tallinn, 05.07.2019.Print version
Listed Estonian shipper AS Tallink Grupp has borrowed 197.6 million euros to finance the new 247-million-euro LNG powered fast ferry currently under construction at a shipyard of Rauma Marine Constructions Oy in Finland, reported LETA/BNS.

The loan agreement was concluded between AS Tallink Grupp subsidiary Tallink Superfast Ltd. and KfW IPEX-Bank GmbH, the shipper told the stock exchange. 

The loan is arranged and long term financing is provided by KfW IPEX-Bank GmbH. The Finnish Export Credit Agency "Finnvera" guarantees 95% of the post-delivery buyer credit.


The loan is secured by a mortgage on the new vessel and a corporate guarantee of AS Tallink Grupp. The OECD-term export credit loan will be drawn on the delivery of the vessel, presumably at the beginning of 2022, and has a final maturity of 12 years from the drawdown.


The contract for the construction of a new LNG-powered fast ferry for the Tallinn-Helsinki route signed between Tallink Grupp and Rauma Marine Constructions (RMC) entered into force at the end of March. Spokespeople for Tallink said at the time that the construction of the ferry will start at the end of the year. 


The new shuttle ferry with a gross tonnage of approximately 50,000 tons and a service speed of 27 knots will use LNG as fuel and meet all the current and known future emission regulations. Similarly to the group's newest vessel Megastar, the new shuttle ferry will also be dual fuel operated, its overall length will be approximately 212 meters and it will be able to carry 2,800 passengers, Tallink said.

 

The vessel will cost approximately 250 mln euros and it will be built at the Rauma shipyard in Finland, providing approximately 1,500 man-years of employment for the shipyard. The delivery of the vessel is expected in January 2022, it was announced in March.






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