Bahri signs $112m finance deal
The National Shipping Company of Saudi Arabia, Bahri, has announced that its subsidiary Bahri Dry Bulk (owned 60% by Bahri and 40% by Arasco) has signed a finance deal with Bank Albilad for $112m to finance 70% of the cost of five new bulkers.
The Shariah compliant financing facility is for a period of 11 years, and includes a maximum of one year grace period.
The five vessels will be mortgaged to Bank Albilad as collateral for the financing.
Bahri Dry Bulk signed a contract to build five dry bulk ships with one of the leading ship yards in Japan.
The eco-friendly vessels have a capacity of 82,000 dwt and length of 229 metres.
The company started its operation through chartering five vessels and chartering them out to Arasco which will be replaced by the delivered vessels.
The first vessel will be delivered at the end of this month, while the remaining four in the first half of 2014G.