Euroseas, a US-listed owner of 26 container ships, has struck its first financing deals with the National Bank of Fujairah (NBF) for two of its newbuildings.
The United Arab Emirates-based lender has extended a $22.5m loan for the 1,800-teu Monica (built 2024).
The vessel will embark on a $16,000-per-day charter of up to one year with a major container line when it exits the shipyard later this month.
“The same financing” was secured for another newbuilding sister ship due for delivery in June — the Stefania K — Euroseas said.
“We are … pleased to have started a cooperation with the National Bank of Fujairah, as part of our strategy of diversifying our debt financing sources and expanding our relationships with commercial shipping lenders worldwide,” Euroseas chief executive officer Aristides Pittas said.
As of December 2023, Euroseas had an outstanding bank debt of $131m.
Until now, the company has been doing business with Greek lenders, such as Piraeus Bank and Eurobank or international ones, such as Sinopac Capital International in Hong Kong.
NBF has been involved in ship financing transactions for several years.
In 2003, TradeWinds reported that it became the first UAE bank to set up a specialist ship-finance department.
In late March, NBF was involved in the financing of VLGC newbuildings jointly ordered by BGN International and Al Seer Marine.
“We are excited to support the charter of Euroseas new fuel-efficient container ships through our sustainability linked loan,” commented Bilal Hasan Ashraf — head of NBF’s Energy & Marine and Government and Large Corporate department.
NBF’s key shareholders include the government of Fujairah, Easa Saleh Al Gurg and Investment Corporation of Dubai.
The bank’s latest financing was arranged by investment bank Alantra, which advised Euroseas in the transaction and described NBF as the “most sophisticated” shipping bank based in the UAE.
The transaction was led by Alantra partner and managing director for maritime and offshore, Nicholas Petrakakos.
