MSC Secures Scrubber Loan For 86 Vessels

January 28, 2019

Container shipping giant Mediterranean Shipping Company (MSC) has secured a USD 439 million financing to fit 86 exhaust gas cleaning system (EGCS) or scrubbers  to its fleet.

BNP Paribas (BNPP) was the co-ordinating bank and agent on the agreement, together with a syndicate of four other banks as lenders, said the law company Watson Farley & Williams (WFW).

The SINOSURE-backed loan would be used to finance the manufacturing and installation of the scrubbers on board 86 container ships owned by the MSC group in light of the implementation of the International Maritime Organisation’s low sulphur cap regulations in 2020.

The WFW Paris team advising BNPP was led by Finance Partner Alexia Russell, supported by Associates Konstantina Kyprianidou and Parit Patani.

WFW Paris were assisted by Alasdair McKenzie of Mourant Ozannes and Clement Neveceral of Schellenberg Wittmer providing Guernsey and Swiss law advice respectively.

Alexia commented: “We are very pleased to have advised BNPP and the other lenders on this milestone deal, which marks the first scrubber financing between the parties highlighting MSC’s environmental commitment and its firm support by the lenders in light of the new IMO-2020 sulphur cap.”

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