Green light to Moby and Compagnia Italiana di Navigazione’s rescue plan by the Court of Milan

By | 2022 Newsletter week 47 | No Comments

Moby S.p.A. announced that “by Decree dated today, November 24th, the Court of Milan declared the homologation of the Composition Plan proposed by the Company and its subsidiary, CIN S.p.A. (Compagnia Italiana di Navigazione). With this Decree, the Court rejected the only action in opposition brought by Grimaldi Euromed S.p.A., ordering it to pay the judicial costs in favor of Moby and CIN”.

Green light also to the Gianluigi-Aponte-controlled MSC Group to take directly a 49% stake in Moby in exchange of EUR 150 million, of which EUR 81 million will be used to partially repay the debt of 180 million with Tirrenia in Amministrazione Straordinaria (bad company controlled by the Italian economic development minister born when the former public Tirrenia was sold in 2012).

Achille Onorato (Moby) announced new investments for retrofit and newbuilding

By | 2022 Newsletter week 42 | No Comments

During a conference organized by the Italian shipowners’ association Assarmatori in Livorno, CEO Achille Onorato said to Ferry Shipping News:

  • Moby is preparing a new plan for investments into the retrofit of some ships in the company’s fleet. It will be presented in two weeks’ time.
  • Also considering a project for building new ships for Toremar.
  • The Italian Government put on the table some EUR 500 million, aimed at renovating the tonnage deployed on the cabotage market. Half of the funds coming from the EU Next Gen Program are for newbuilding projects and the remaining half for investments in retrofit.
  • Commenting on the ongoing year, Achille Onorato just said that “the current warm climate in Italy is offering a sort of second season thus resulting in high numbers of passengers travelling to and from the islands” (Sardinia and Elba).
  • Last but not least, both new ferries under construction in China are set to enter service on the Livorno – Olbia route in H1, 2023.

MSC to enter directly with a 49% stake in Moby

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The Gianluigi Aponte – controlled MSC Group will take directly a 49% stake (not only 25%) in Moby as soon as the restructuring plan will be approved by the Court of Milan at the end of September.

Some documents seen by Ferry Shipping News confirm that MSC already put on the table EUR 150 million, of which EUR 81 million will be used to partially repay the debt of 180 million with Tirrenia in Amministrazione Straordinaria (bad company controlled by the Italian economic development minister born when the former public Tirrenia was sold in 2012).

MSC also reserved for itself the possibility to maintain the harbour towage division (which was intended to be sold according with the previous restructuring plans) and to replace LCBC Leasing as owner of the two new ferries under construction at GSI shipyard in China and soon to be long-time chartered to Moby.

The Court of Milan accepts the debt restructuring plan submitted by Moby and CIN

By | 2022 Newsletter week 17 | No Comments

The bankruptcy court of Milan has just admitted the new debt-restructuring plans presented by Moby and Compagnia Italiana di navigazione after a few weeks ago the judicial commissioners of Tirrenia had “expressed an overall positive opinion on the resilience of the plan”. The latter is based on a preliminary agreement with the State-owned bad company Tirrenia in Amministrazione Straordinaria (creditor for EUR 180 million) and on the EUR 80 million capital increase announced by MSC Group which will take in change a 25% stake in Moby Group.

The Court of Milan officially scheduled for next June 20th and 27th the creditors’ meeting for Moby and Tirrenia CIN respectively.

How will MSC Group rescue Moby and Tirrenia?

By | 2022 Newsletter week 13 | No Comments

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

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