March 31, 2022

Following the breaking news announcement that MSC Group will enter the capital of Moby through a capital increase aimed at paying Tirrenia in Amministrazione Straordinaria (Tirrenia AS = bad company controlled by the Italian Ministry of Economic Development) to allow the immediate reorganization of the Moby group, some more details on the deal are emerging.

The news site Reorg Research revealed that the Geneva-based shipping group MSC will invest about EUR 80 million for a minority stake (25%) in the Italian ferry group and this money will be partly used to repay creditor Tirrenia AS, “which is going to be paid straight after the concordato homologation, and not in four years as previously envisaged.”

“Tirrenia AS will recover about 45%,” sources report.

The 45% recovery will consist of “a EUR 23 million first instalment after the concordato homologation, which will come from the EUR 63 million new money investment made by Moby’s secured creditors, while the rest will be provided via MSC’s money. The remaining cash out of MSC’s EUR 80 million investment will stay on the company’s balance sheet.”

All the ships in fleet will be transferred to a new vehicle company, named ShipCo.

Some ships are destined to be subsequently reassigned to Cin and Moby while others will be progressively sold. Everything that this ShipCo will generate from the rentals and sales of the assets will be used to partially repay the credits with banks and bondholders. Onorato Armatori will remain 75% of a company that owns the routes, the brands and the port terminals but which will be emptied of its fleet.

A green light to the ‘rescue plan’ is still needed from Tirrenia AS and from the Court of Milan.

Addendum 30 March: An agreement in the terms of the debt restructuring has just been reached between Moby and Tirrenia in Amministrazione Straordinaria