Watson Farley & Williams (“WFW”) advised Hong Kong listed dry bulk shipping company Pacific Basin Shipping Limited’s (“Pacific Basin”) wholly owned subsidiary, PB Vessels Holding Ltd a on a US$150m three-year unsecured revolving credit facility extended by a syndicate of international banks led by BNP Paribas and Citigroup Global Markets Asia Limited as joint coordinating mandated lead arrangers and bookrunners.
The deal is significant as it is Pacific Basin’s first sustainability-linked financing, affirming the group’s commitment to sustainability and social concerns. The chosen key performance indicators focus on carbon intensity and crew safety which are key ESG priorities for Pacific Basin. It is also the first facility of such size on an unsecured basis for the group.
Founded in Hong Kong in 1987, Pacific Basin is a specialist Handysize and Supramax bulk carrier owner and operator, engaged in international dry bulk shipping through the operation of a fleet of vessels to carry diverse cargoes for many of the world’s leading commodity groups.
The WFW Asia Assets and Structured Finance team that advised Pacific Basin was led by Asia Finance Group Head and Partner Madeline Leong, working closely with Counsel Ryan Tan.
Madeline Leong commented “We are delighted to continue our strong relationship with Pacific Basin and support and advise them on yet another milestone financing transaction, this time being their inaugural sustainability-linked loan facility reinforcing their commitment to sustainable shipping and demonstrating international banks’ respect for and trust and belief in the strength of the group by extending such a significant facility on an unsecured basis”.
