Japanese shipping firm wins first export loan
Offshore transport contractor TeraSea has won its first export credit-backed loan totalling US$53mn from Sumitomo Mitsui Banking Corporation (SMBC) and the Japan Bank for International Cooperation (JBIC).
The proceeds from the facility will be used to fund the construction of two ocean towing/salvage tugs at Japanese shipbuilder Universal Shipping Corporation.
The loan is comprised of an SMBC portion of US$26mn, and a JBIC portion of US$27mn.
Nippon Export and Investment Insurance (Nexi) will provide buyer’s credit insurance for the six-year SMBC portion of the loan.
The Singapore office of Watson, Farley & Williams provided TeraSea with legal advice on the deal.
TeraSea is a joint venture between Singapore-listed shipping firm Ezion Holdings and Seabridge Marine Services.