BSTDB and STLC Expand Cooperation to Develop Transport Infrastructure in Russia
BAKU, Azerbaijan, Sept. 2
The Black Sea Trade and Development Bank (BSTDB) approved the provision of a long-term (8 years) corporate loan of up to USD 40 million to the State Transport Leasing Company (STLC) of Russia to finance the purchase of new passenger vessels for subsequent lease. It is the third BSTDB loan to STLC, bringing the total amount of BSTDB’s financing to the company to over USD 130 million.
The Operation involves the construction of two PC-5 ice-class expedition cruise liners in Finland. The liners will be able to cruise all year round, including at least 310 days in the Arctic and Antarctic regions, with the expected annual tourist flow close to 9000 passengers. The vessels will comply with the highest international environmental standards and the Polar Code effective from 2017.
The increased lending to STLC was supported by the Texel Group, a specialized insurance broker, through the structuring and negotiating of unfunded risk participations from a number of participants including Syndicates from the Lloyd’s of London insurance market.
“We are delighted to expand further our cooperation with STLC and to contribute to Russia’s leasing market and transport infrastructure development, which is a BSTDB’s strategic objective. As an international development bank, BSTDB is facilitating the strengthening of STLC’s Environmental and Social management system and integrating it in the company’s general leasing portfolio management. This operation also reflects the Bank’s increased focus on public sector clients, in addition to our traditional support for the private sector in the Black Sea region” - said Dmitry Pankin, BSTDB President.
“Broadening cooperation with BSTDB falls in line with the growth of GTLK's scope of activity. The loan agreement will open up new opportunities for us", - pointed out GTLK's CEO Mikhail Polyboyarinov.
The State Transport Leasing Company (STLC) is the largest leasing company in Russia. STLK is an instrument of government policy for the management and sustainable development of Russia’s transport sector that facilitates government efforts to support the sector, develop efficient transport infrastructure, raise extra-budgetary investment, and support domestic transport engineering while pursuing digital transformation and increasing the Company’s operating efficiency. The Russian Federation is the Company’s sole shareholder (represented by the Ministry of Transport of The Russian Federation). STLC currently holds “Ba1” long-term rating from Moody’s and “BB+” from Fitch Ratings. For more information on STLC, visit www.gtlk.ru.
The Black Sea Trade and Development Bank (BSTDB) is an international financial institution established by Albania, Armenia, Azerbaijan, Bulgaria, Georgia, Greece, Moldova, Romania, Russia, Turkey, and Ukraine. The BSTDB headquarters are in Thessaloniki, Greece. BSTDB supports economic development and regional cooperation by providing loans, credit lines, equity and guarantees for projects and trade financing in the public and private sectors in its member countries. The authorized capital of the Bank is EUR 3.45 billion. BSTDB is rated long-term “A-” by Standard and Poor’s and “A2” by Moody’s. For information on BSTDB, visit www.bstdb.org.