TORM Secures Financing for LR2 Newbuildings

Danish shipping company TORM has entered into a financing agreement for four LR2 newbuildings scheduled for delivery in 2017 and 2018.

The financing agreement for the 114,000 dwt vessels is for an amount of up to USD 115 million.

TORM concluded the deal, which runs for twelve years, with The Export-Import Bank of China.

The main conditions of the agreement are in line with the company’s existing loan agreements, the Danish firm said.

As of June 30, 2016, the remaining investments in TORM’s newbuilding program amounted to USD 168 million.

The company said that with the recent agreement, TORM’s unutilized loan facilities and cash amount to USD 307 million.

The four fuel-efficient LR2 newbuildings were ordered in November 2015 from the Chinese shipbuilder Guangzhou Shipyard International (GSI).

The quartet has a market value of some USD 180 million, according to data provided by VesselsValue.

TORM earlier said that the agreement includes the option to purchase up to six additional vessels within the LR2, LR1 or MR segment, with expected delivery in 2018 and 2019.

Share this article

Follow World Maritime News

In Depth>

Events>

<< Jun 2019 >>
MTWTFSS
27 28 29 30 31 1 2
3 4 5 6 7 8 9
10 11 12 13 14 15 16
17 18 19 20 21 22 23
24 25 26 27 28 29 30

World Gas Series: Morocco Summit

Bringing together key players in the gas value chain in Morocco, the World Gas Series:

read more >

Electric & Hybrid Marine World Expo Conference 2019

Electric & Hybrid Marine World Expo Conference is the world’s only international conference…

read more >

GreenTech in Shipping USA Forum 2019

GreenTech in Shipping USA Forum is an event for Maritime leaders who want to unlock successful business formula of the industry!

read more >

Shipping Transformation Asia

Shipping Transformation Asia will provide a platform for future-focused discussion in the shipping,…

read more >