LNG Ship at Sea

Nordea Bank advised by WFW on upsizing loan for Exmar LPG BVBA

18 June 2015

Watson Farley & Williams (WFW) has acted for long-time client Nordea Bank Norge ASA (“Nordea”) on an upsizing of a US$355 million loan facility to Exmar LPG BVBA, a joint venture between Exmar and Teekay Corporation.  The original loan facility, on which WFW also acted for Nordea, was signed in March 2013 and the facility has now been increased pursuant to an agreement dated 5 June 2015 to comprise a revolving credit facility of US$310m and a term loan facility of US$150m.

The facility is secured by Belgian and Hong Kong mortgages on 11 LPG vessels and the term loan facility will assist Exmar LPG BVBA in financing its acquisition of four further LPG newbuildings under construction at Hanjin-Phil Inc. The first is due to deliver in August 2015 and the remaining three during 2016.

Nordea acted as global co-ordinator and bookrunner on the matter.  Nordea, ABN Amro Bank N.V, BNP Paribas SA, Belfius Bank NV/SA and Scotiabank Europe Plc acted as lead arrangers, KBC Bank NV, Skandinaviska Enskilda Banken AB (publ) and DNB (UK) Limited as co‑arrangers.

WFW London finance partner Michael O’Donnell led on the deal, assisted by London associates Emily King and Jamie Cusworth.  WFW Hong Kong associate Valerie Lee advised on Hong Kong law, WFW New York partner Dan Rodgers and associate Han Deng advised on Marshall Islands law. Belgian law firm Fransen Luyten advised on Belgian law.