2007

NIBC, Bank of Scotland in $240m Financing for Madison Marine

NIBC Bank and Bank of Scotland have recently closed a $240 million financing for Monaco-based tonnage provider Madison Marine Corp to finance the acquisition of five existing midsize container vessels.MadisonMarine is a recent entrant to the lease financing scene, owning one 4,850 TEU container vessel newbuilding prior to the transaction. The company took delivery of its first vessel early last year and put it out on long-term charter to a major liner operator. Finance for the ship was also provided by The Hague based NIBC Bank.

The five newly acquired vessels will be put on long-term charter to one of the top ten liner operators. This acquisition is being financed by a new $240 million facility lead arranged by NIBC Bank and Bank of Scotland. The financing is comprised of a 12-year $204 million senior facility that has been syndicated to four other European banks and a $36 million junior facility fully taken up by NIBC Bank and Bank of Scotland.

The deal should be a transformational one for Madison Marine, enabling the company to establish a strong foothold amongst the quality tonnage providers and build momentum for further growth. NIBC Bank has also recently closed a $55 million bilateral loan with the CSL Group to provide pre and post delivery finance for one newly converted and one existing self-unloader.

This is only an excerpt of The Week in Review – 08/02/2007

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