The Scottish Budget sets out the Scottish Government’s proposed spending and tax plans for 2023 to 2024, as presented to the Scottish Parliament. Full details here.
Extra money has been allocated to complete the two overdue ferries at Ferguson Marine, which have already exceeded their budget.
It includes an additional £15 million in the current financial year and £57 million next year for work on the vessels.
Ferry Services: important increase of budget
AS Tallink Grupp has amended and restated the EUR 280 million loan agreement from December 2016. The final maturity of the Euribor based floating interest rate loan was extended by 3 years with two further extension possibilities, each by one year. Sustainability-linked clauses were added to the amended and restated loan agreement. Current outstanding balance of the loan is EUR 135,5 million.
The financing is arranged by Nordea Bank ABP, Danske Bank A/S, KfW IPEX Bank GmbH, AS Swedbank, Skandinaviska Enskilda Banken AB and Hamburg Commercial Bank AG. Nordea Banks ABP and Skandinaviska Enskilda Banken AB acted as Coordinators. The Facility- and Security Agent and Sustainability Coordinator is Nordea Banks ABP.
As a result of the amended and restated loan agreement the company’s refinancing risk decreases.
The new loan is guaranteed by the subsidiaries of AS Tallink Grupp: Tallink Sea Line Ltd, Tallink Victory Line Ltd, Tallink Ltd, Tallink Autoexpress Ltd and Tallinn Swedish Line Ltd. The loan is secured by the mortgages on the ships belonging to these subsidiaries.
Zadar, 5 December 12, a ceremony was held onboard MARKO POLO to celebrate Jadrolinija’s 75th birthday.
The party included employees, partners and numerous guests, including the State Secretary for the Sea, Transport and Infrastructure and the representative of the Prime Minister of the Republic of Croatia Josip Bilaver, the representative of the President of the Croatian Parliament Rade Šimičević, Members of Parliament and Zadar County Prefect Božidar Longin.
After the stressful pandemic years, there is a return to the figures from 2019, which was also referred to by the President of the Management Board, David Sopta, in his welcome speech.
“This year marks a return to the figures from the record year 2019, despite the global energy crisis and the drastic increase in energy prices. This means that we will see the end of the year with more than 12 million passengers and more than 3 million vehicles.”
He pointed out that over the past few years, 5 ships have joined the fleet, while the acquisition of new ships is expected next year.
The Spanish ferry company Naviera Armas seems to be the next big deal soon to take place in the Mediterranean basin.
Spanish media report that the company, controlled today by the Armas family and the creditors (i.e. Jp Morgan, Barings, Cheyne Capital and Banco Santander), will have to be put on the market in the near future.
Balearia, Boluda, MSC’s Grandi Navi Veloci and Grimaldi Group are mentioned as potential buyers, but Grimaldi immediately denied its interest to Ferry Shipping News: “We are not going to play that match,” a spokesperson said. No comment from MSC as usual.
The sale process appears very complicated both for technical, financial, and legal reasons.
Azienda del Consorzio Trasporti Veneziano (Actv), the public ferry company controlled by the Municipality of Venice, has just launched a short-term tender (expiring date 16 January 2023) aimed at finding interested shipyards for building two double-ended ferries with diesel-electric dual-fuel propulsion.
Tender price is EUR 32.24 million for both the vessels.
Another similar tender was launched one year ago but failed. Only Holland Shipyards submitted an offer.
Ferry – freight:
Total volumes in November 2022 were 12.0% below 2021. Volumes were 3.7% below 2021 adjusted for Channel that is impacted by a considerable total market decrease and overcapacity.
North Sea volumes were lowered by a temporary reduction in ferry capacity and continued supply chain disruptions for some automotive customers. Mediterranean volumes kept on growing in November, while Baltic Sea volumes remained negatively impacted by the war in Ukraine.
For the last twelve months 2022-21, the total transported freight lane metres decreased 2.4% to 42.2m from 43.3m in 2021-20. The decrease was 0.5% adjusted for Channel.
Ferry – passenger:
The number of passengers continued to recover and increased 119% to 179k equal to 80% of volumes in November 2019, the latest comparable month pre-Covid-19. The number of cars equalled 89% of volumes in 2019.
For the last twelve months 2022-21, the total number of passengers was 3.5m compared to 0.9m in 2021-20 and 5.1m in 2019.
According to Anek Lines’ latest report on the 9-month and 3rd quarter key financial results that was published on December 9, 2022:
MARFIN INVESTMENT GROUP HOLDINGS S.A. announced on 13 December 2022 it received a proposal from the company “STRIX Holdings L.P.”, bondholder – owner of the entirety of the bonds
for the exchange of the entirety of the bonds owned by STRIX and issued by the Company, for the Company’s total direct and indirect shareholding in “ATTICA HOLDINGS S.A.”, i.e. 22,241,173 shares representing 10.31% in ATTICA’s share capital, directly owned by the Company, and the entirety of the shares of the Company’s wholly owned subsidiary “MIG SHIPPING S.A.”, which owns 149,072,510 shares representing 69.07% in ATTICA’s share capital. The terms of the proposal include a confirmatory legal and financial due diligence in “MIG SHIPPING S.A.”, the approval of any competent competition authority, as required by law, and the granting of an
exclusivity period until 30 July 2023.
The Board of Directors accepted the aforementioned proposal and decided to appoint forthwith a financial advisor that will examine the fairness of the financial terms of the transaction. Any definite agreement will be submitted for approval to the General Meeting of the Company’s Shareholders.
In case of completion of the transaction, the Company will proceed to the cancellation of the entirety of its own bonds to be acquired and as a result, its borrowings amounting to EUR 443,8 m. will be fully and completely repaid.
