German lender Hamburg Commercial Bank (HCOB) has struck a deal to acquire the shipping portfolio of Dutch counterpart NIBC.
The deal comprises NIBC’s shipping portfolio of senior secured loans worth $992m.
NIBC, which has been providing ship financing from €10m and €50m to a diversified clientele in maritime hubs of North-West Europe, Athens, New York and Singapore, said the sale would enable a “sharper focus on key business segments where growth can be accelerated”.
“We believe we have found a great new owner in HCOB, who is committed to investing in the continued growth ambitions of the franchise,” said Saskia Hovers, a member of the NIBC executive committee.
The private equity-controlled HCOB, with bases in Hamburg and Piraeus, mostly provides funding for tankers, containers, bulkers and car carriers and counts clients such as Torm, MPC Container Ships, and Leonhardt & Blumberg. The company logged €81m in profits from shipping last year, with about half of its business coming from Greece.
The acquired loans will reduce HCOB’s portfolio share in the container business in favour of bulk carriers and chemical tankers, as well as strengthen the company’s presence in Scandinavia, the Netherlands, and the UK.
The transaction should close in June and the majority of the NIBC shipping team has received an offer to join HCOB.
Commenting on the acquisition, Ulrik Lackschewitz, CEO of HCOB, said: “With this transaction, we expand our shipping footprint in the European market. We are very pleased to be gaining this high-quality and well-balanced loan portfolio, which strengthens our shipping client base and franchise.”
Financial terms surrounding the deal have not been divulged.
“which has been providing ship financing from €10m and €50m to”
‘from’ ‘and’?
Did you mean ‘from €10m to €50m’, or ‘of €10m and €50m”?