SPDBFL enters into sale and leaseback transactions with Ciner Shipping Group worth $136 million for eight bulk carriers

📋 Staff Comments

1. SPDBFL is a financial leasing company established by Shanghai Pudong Development Bank Co. Ltd, COMAC, Shanghai State-owned Assets Operation Co. Ltd and Shanghai Long Hua International Aviation Investment Co. Ltd. The company provides financial leasing services for aircraft, aeronautical facilities, shipping, transportation, engineering machinery, industrial equipment, infrastructure and construction.
2. Sale and leaseback (or sale-leaseback) agreements are generally considered to be off-balance-sheet hybrid debt products.
3. A bareboat charter is when the owner of the vessel (in this case, SPDBFL) leases (or 'charters') the vessel to a lessee ('charterer') without any crew or supplies. The charterer assumes full responsibility for the operation of the vessel.
4. The WFW Hong Kong Assets & Structured Finance team advising SPDBFL was led by Partner and Hong Kong Head Christoforos Bisbikos, supported by Senior Associate Ryan Tan, Associate Joey Cheung, Senior Legal Manager Jimmy Choy and Trainee Solicitor Jennie Wong. WFW London Partner Maren Brandes and Hamburg Geprüfte Rechtsfachwirtin Kathrin Lübberstedt advised on the German law aspects of the transaction.
5. SUMEC Group Corporation (SUMEC), established in 1978, is a key member of China National Machinery Industry Corporation (SINOMACH), a state-owned company.
6. Ciner Shipping Group is one of the largest (private) shipping companies in Turkey.

📚 Sources & References

• WFW advises SPDBFL on US$136M lease financing for eight bulk carriers
• Ciner gets fresh Chinese leasing finance for a string of bulkers Loan applications and disbursements are still being received and processed as the projects continue to evolve. Ongoing monitoring and evaluation are in place to ensure project continuity.