French bank BNP Paribas closed a $450 million financing transaction for Italian shipping group Navigazione Montanari and said it was close to completing another shipping finance deal worth $450 million to $500 million.
BNP Paribas arranged an eight-year senior secured loan facility worth $450 million, enabling its Italian client to have more cash to build its fleet and consider possible acquisition opportunities.
Didier Salomon, head of shipping finance at BNP Paribas, said, the bank also was close to finalising another deal worth a similar amount for a non-European shipping company. "We would like to complete this before the end of the year."
Salomon also said BNP Paribas would like to hire more staff for its shipping finance division, where it currently has around 40 employees.
BNP Paribas's financing for Navigazione Montanari is the largest shipping transaction ever arranged in the Italian market by an international bank.
BNP Paribas said its take-over this year of Italian bank BNL would strengthen its position in the Italian shipping market by giving it access to existing clients of BNL.