Container ship owner Seaspan Corp has unveiled what it calls a new kind of financing deal worth $838m.

The vessel lessor, part of New York-listed Atlas Corp, said it was providing "fulsome details" of a transaction that has left only 10 ships in its mammoth 70-vessel newbuilding order without funding.

The financing is the first to see Japanese sale and leaseback equity backed by export buyer credit insurance from an export credit agency (ECA).

Seaspan said the deal adds long-term debt over 12 years at significantly lower interest rates than previously.

The cash will finance eight unspecified newbuildings: four of 12,000 teu and four of 15,000 teu.

The completion of funding for the remaining 10 newbuild vessels continues to be expected prior to year-end.

Three quarters of the new loan comprises ECA money supported by China Export & Credit Insurance Corporation (Sinosure). The rest is Japanese cash.

A lot of work

Chief financial officer Graham Talbot said the transactions had involved a significant investment in time for the team, laying groundwork over a period of several years.

"But the reward is a financing with both long tenor and remarkably low cost, from construction to 12 years post-completion," he added.

Talbot said one of the benefits is a closer relationship with Sinosure and Japanese equity investors.

The ECA pre-delivery financing will convert to a Japanese leaseback deal on delivery.

Shuigen Pan, general manager of Sinosure's Jiangsu branch, said: "We are committed to long-term strategic cooperation and welcome more Chinese newbuild orders from Seaspan."

FPG-AIM acted as the Japanese leaseback arranger.

HSBC sees big potential

Other lenders involved include HSBC, Citibank, Deutsche Bank, Societe Generale, Bank of China, BNP Paribas and ING Bank.

HSBC's Sam Lippitt, head of export and asset finance for the Americas, said the lender sees "enormous" potential to roll out the structure for Seaspan in future, given the importance of China as a maritime exporter.

Seaspan's newbuilding programme is costing $7.6bn and the owner has financing of $5.3bn in place for the first 60 vessels.

The shipowner, which has 132 ships on the water, is arranging another $1.6bn of loans to cover the final 10 units.