Tallink Gets Finance for LNG Ferry

July 5, 2019

Estonian shipping company Tallink Tallink Grupp has borrowed  EUR 197.6 million to finance the new EUR 247 million LNG powered fast ferry currently under construction in Rauma Marine Constructions Oy.

The loan agreement was concluded between AS Tallink Grupp subsidiary Tallink Superfast Ltd. and KfW IPEX-Bank GmbH, the shipper said.

The loan is arranged and long term financing is provided by KfW IPEX-Bank GmbH. Finnish Export Credit Agency “Finnvera” guarantees 95 per cent of this post-delivery buyer credit.

The loan is secured by the mortgage on the new vessel and the corporate guarantee of AS Tallink Grupp.

This OECD-term export credit loan will be drawn on the delivery of the vessel, presumably in the beginning of 2022 and has the final maturity of twelve years from the drawdown.

The contract for the construction of a new LNG-powered fast ferry for the Tallinn-Helsinki route signed between Tallink Grupp and Rauma Marine Constructions (RMC) entered into force at the end of March.  

Similarly to the group’s newest vessel Megastar, the new shuttle ferry will also be dual fuel operated, its overall length will be approximately 212 meters and with a passenger capacity of 2,800.

The vessel will be built at the Rauma shipyard in Finland, providing approximately 1,500 man-years of employment for the shipyard. The delivery of the vessel is expected in January 2022.

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