Moby’s new flagship launched at GSI shipyard

By | 2021 Newsletter week 45 | No Comments

The new ropax MOBY FANTASY has been launched at the GSI shipyard in Guangzhou, on Saturday 7 November.

She is the first of two new generation vessels set to enter service from 2023.

The ferries have been designed by OSK Shiptech.

MOBY FANTASY:

237m | gross tonnage 69,500 | 2,500 passengers | 550 cabins |

3,800 lane metres for 1,300 cars or 300 trucks |

speed 23.5 to maximum 25 knots | LNG-ready |

They were ordered by Fratelli Onorato Armatori, they are controlled by LCBC Leasing and will be sub-chartered to Moby for the Livorno – Olbia link.

Good news (3x) and extra time for Moby and CIN Tirrenia

By | 2021 Newsletter week 44 | No Comments

Moby announced that the Court of Milan on October 27th “has issued the decrees for the deferral of the meetings of creditors in the context of the composition with creditors of Moby and its subsidiary CIN”.

Under the ‘concordato preventivo’ procedure, the Court postponed the creditor’s meetings:

  • Moby: from 13 December 2021 to 6 April 2022
  • CIN: from 20 December to 12 April 2022

The postponement came after the Vincenzo Onorato-controlled group decided to present a new restructuring plan, supported by a part of the bond holders and where the refund conditions for some class of creditors were significantly improved.

Moby also announced that the shareholder’s meeting held on 28 October 2021 appointed Mr Gualtiero Brugger as member and chairman of the Board of Directors. He succeeds Vincenzo Onorato. Brugger is a professor in economics at the Bocconi University in Milan.

Finally, Moby also made public the decision of the Italian antitrust authority. They reduced the fine for abusing its dominant position for roro freight transportation on the routes linking Italy mainland to Sardinia. (from EUR 29.2 million to 1.0 million)

Moby Charters Out ELIANA MARINO and MARIA GRAZIA ONORATO to DFDS and Cobelfret

By | 2021 Newsletter week 40 | No Comments

DFDS and CLdN are adding more roro tonnage. The ships come from the Moby fleet.

Our colleague from Shipping Italy revealed that both ELIANA MARINO and MARIA GRAZIA ONORATO ship have been sub-chartered from Moby for at least six months.

ELIANA MARINO (2,500 lane metre) will be operated on the Mersin (Turkey) – Trieste (Italy) line by DFDS

Daily charter rate should be around EUR 14,000.

MARIA GRAZIA ONORATO (4,076 lane metre) is expected to be deployed by CLdN in Northern Europe and the ‘charter price’ should exceed EUR 20,000 per day. Both charters start from October.

Both roro’s have been operating up to date by Moby (in bare boat charter) on the Motorways of the Seas, linking Italy mainland with Sicily and Sardinia islands.

State Aid: European Commission Clears Public Support For Several Ferry Services In Italy; Finds Other Measures To Siremar And SNS To Be Incompatible Aid

By | 2021 Newsletter week 25 | No Comments

The European Commission has concluded that the public service compensation granted since 2009 to Sicilia Regionale Marittima S.p.A. (‘Siremar’) and Toscana Regionale Marittima S.p.A. (‘Toremar’) for the operation of ferry services in Italy is in line with EU State aid rules.

The same applies to the compensation granted to their acquirers, respectively Società Navigazione Siciliana (‘SNS’) since 2016 and Moby S.p.A (‘Moby’), since 2012.

However, the Commission found that certain other measures in favour of Siremar, currently in liquidation, and SNS are incompatible with EU State aid rules.

Italy must now recover approximately €1.9 million of illegal aid, including interest.

Moby Submitted A Plan To Save Tirrenia CIN: Five Ferries For Sale

By | 2021 Newsletter week 21 | No Comments

Last Monday (May 24th), Moby filed a ‘concordato’ proposal for its subsidiary CIN (Tirrenia) as no agreement was found with the main creditor, i.e. the judicial administrators of Tirrenia AS, which is in extraordinary administration.

CIN owes EUR 180 million in unsecured debt (deferred payment) for the acquisition of the former public company Tirrenia from the Italian state in 2012.

The procedure will be therefore similar to the one selected also for Moby group since an out-of-court restructuring plan with the ad hoc group of bond holders was not reached either.

According to the plan submitted for Tirrenia CIN to the Court of Milan and exclusively revealed by news site Shipping Italy, five ferries are expected to be sold before 2025 (*)

Moby’s subsidiary is offering a 20% minimum guaranteed recovery to its unsecured creditors and the recovery could increase up to 35%. The repayment would take place at the earliest date of either 31 December 2025 or 36 months after the ‘concordato’ preventive homologation.

(*)

High-speed vessel ISOLA DI CAPRAIA is scheduled for sale in 2022, EUR 1.9 million

  • Roro BENIAMINO CARNEVALE in 2022, EUR 6.8 million
  • Ropax BITHIA in the same year, EUR 29.5 million
  • Ropax JANAS in 2024 for EUR 29.5 million
  • Ropax ATHARA also in 2024 for EUR 32.5 million

Tension Between Moby And The Ad Hoc Group Of Bondholders

By | 2021 Newsletter week 8 | No Comments

As the expiring date of March 28 for submitting the debt restructuring proposal is rapidly approaching, tensions are increasing between Moby and its bondholders.

Last week, news provider Reorg Research reported that the “ad hoc group” controlling 50% of the bonds issued by the Onorato-lead ferry company had sent a counterproposal in response to the Italian shipping company’s latest draft restructuring plan. “The bondholders are focusing on the size of the investment from Moby’s new potential partner Europa Investimenti, which is deemed to be too low. They also believe that the targeted returns on investment for Europa Investimenti are too high and not at market rates” sources said.

Another source of concern for the ad hoc group is Moby’s future governance, which according to the company’s plan, should remain in the hands of the Onorato family.

Latest News From Moby’s Debt Restructuring Plan

By | 2021 Newsletter week 6 | No Comments

News provider Reorg Research reported some details about Moby’s latest debt restructuring proposal: “Recovery for bank lenders will differ from that of bondholders, who will be able to choose between a 30% upfront payment or a smaller initial cash recovery that would also include future proceeds deriving from asset sales”.

The new restructuring proposal “targets the sale of about eight vessels of Moby and subsidiary Compagnia Italiana di Navigazione fleet in five years’ time.”

The proposal also includes the creation of a shipco which would buy the group’s fleet and lease it back to Moby. Investment fund Europa Investimenti would participate in the shipco”.

The Onorato-controlled company sent an updated restructuring proposal to its creditors earlier this month.

Moby Going On Serving Routes Until End of February

By | 2020 Newsletter week 50 | No Comments

After some alarms raised over the maritime continuity in Italy during the last weeks, eventually Tirrenia Cin will go on serving the subsidised routes with the Tremoli, Sicily and Sardinia islands until the end of February.

The decision came after a meeting where the Italian transport ministry made sure that the condition and the financial resources for Moby group will be granted in change for the service offered.

The public contract for the subsidized maritime links between Italy mainland and the islands expired last July but was postponed until 28 February 2021.

The Italian financial newspaper IlSole24Ore also revealed that Moby selected the investment funds Arrow Capital and Europa Investimenti as preferred financial partner for setting up a debt restructuring and turnaround plan to be submitted to bondholders and banks before 28 December 2020, which is the expiring date decided by the Court of Milan.

Moby Approached Its Ad Hoc Bondholder Group with a Draft Restructuring Proposal

By | 2020 Newsletter week 49 | No Comments

Moby has approached its ad hoc bondholder group with a draft restructuring proposal consisting of new money from a third-party fund and two alternative forms of recovery.

That’s what the news provider Reorg revealed, mentioning sources familiar with the matter.

“Under the draft plan, the creditors may be able to choose between a 30% recovery, and a smaller cash recovery which would, however, also consist in the future proceeds deriving from potential asset sales” the sources said. The proposal is not official yet and may still change.

The size and type of the new money remains unclear.

Funds Clessidra and Europa Investimenti have submitted two non-binding proposals to the Italian shipping group, but Moby seems to be more inclined to select the proposal by Europa Investimenti.

Creditors are discussing the draft proposal and have not told Moby whether they would like to continue negotiations on these grounds, sources said.

The deadline for the Onorato-controlled group to present its restructuring plan is 28 December 2020.

French Regions Help Brittany Ferries to Get through these Difficult Times

By | 2020 Newsletter week 42 | No Comments

Brittany Ferries’ newest vessel GALICIA made her maiden test call in the ports of Cherbourg and Portsmouth this week.

More relatively good news comes from the financial side of the business.

Normandie Region decided on Monday 12 October:

  • Extended depreciation of vessels from 30 to 35 years
  • This will reduce the charter rates by €2m/y = €10m over 5y.
  • SOMANOR (*) will pay the important maintenance works of owned ships, at a ratio of €7m/y = €35m over 5y.

Conseil Régional de Bretagne will decide on Thursday 15 October:

  • €30 million of financial assistance, of which €15 million will be made available immediately.
  • This aid is about deferring charter fees on the ships owned by the regions.
  • The money is not a subsidy.

A big issue in France is the fear to lose the French Flag. Brittany Ferries is one of the biggest employers of French crews.

(*) SOMANOR

  • Brittany Ferries …………………………………….. 24,65 %
  • Senacal…………………………………………………. 48,55 %
  • Senamanche………………………………………….. 26,80 %