Singapore-based Seatrium has announced its subsidiary Seatrium Financial Services has secured a three-year €756m Committed Global Syndicated Bank Guarantee (BG) facility with the support of a group of eight leading financial institutions that it said will fund the engineering outfit’s future projects including contracts from TenneT to expand the Dutch grid.
DBS Bank and Standard Chartered Bank acted as the Global Coordinators for the S$1.1bn BG facility, which comes with a flexible structure that is a first-of-its-kind in the offshore & marine industry in Singapore, will support Seatrium’s project needs for future business growth.
As the group’s first syndicated BG facility, Seatrium said it received robust backing from existing banking partners, including DBS Bank, Standard Chartered Bank, Shanghai Pudong Development Bank Co, and Mizuho Bank.
Seatrium said it also established new relationships with several prominent banks and financial institutions, including First Abu Dhabi Bank PJSC, Singapore Branch, Malayan Banking Berhad, Singapore Branch, Emirates NBD Bank (PJSC), Singapore Branch, and Clifford Capital.
“This S$1.1bn Syndicated BG Facility will support Seatrium in meeting the bank guarantee requirements for future projects, strengthening our capital structure, and laying the foundation for our long-term sustainable business growth,” said Seatrium chief financial officer Adrian Teng.
“Closing on this facility is the culmination of the collaborative efforts between Seatrium and its esteemed banking partners, demonstrating their trust and confidence in Seatrium’s strategic operating model and business outlook.”
Head of energy, renewables and infrastructure, institutional banking group, at DBS Kelvin Wong said: “Our longstanding partnership with Seatrium has allowed us to gain a deep understanding of its business needs, as well as its commitment towards being a sustainability leader in the global offshore, marine and energy industries.
“We are pleased to be partnering Seatrium once again, this time as a global coordinator on this Syndicated Bank Guarantee Facility, which we believe will be instrumental in supporting their future growth objectives in the renewable energy sector.
“This is the latest in DBS’ efforts to enable the energy transition and create a greener future alongside our clients.”
Head of banking & coverage, Singapore and ASEAN, at Standard Chartered Bank Chow Wan Thonh added: “We are pleased to support Seatrium in its inaugural syndicated Bank Guarantee Facility, which will help to further the Group’s plans for expansion in future growth opportunities. This is aligned to Standard Chartered’s commitment to propel meaningful development across industries locally and globally, through the delivery of innovative financing solutions.”
Source: reNews
