Ship Finance from the Perspective of ECA

Transcription

1 Shi Finance from the Persective of ECA

2 Section 1:Overview of Sinosure Section 2:Case Sharing Section 3:Advantages of ECA Finance Section 4:Challenges in Current Market

3 Section 1:Overview of Sinosure Keyword: State-funded ECA Policy-oriented Non-rofit Leading agency of OBOR

4 Sinosure: a state-funded, olicy-oriented ECA State-funded ECA: The only official exort credit insurance agency in the mainland of China Policy-oriented: Mandate according to China s dilomatic, international trade, industrial, fiscal and financial olicies Non-rofit: achieve long-term financial break-even status based on risk ricing and management Leading agency of OBOR: engaged in 14 out 47 secific tasks regarding the mandate from China s State Council 4

5 Sinosure s main role Amid global economic slowdown and uncertainty, Sinosure is fulfilling its obligation of romoting going-out strategy Provide insurance and guarantee Facilitate fundraising Cover commercial and olitical risks Provide global credit information and rating services for numerous exorters, contractors, lenders and investors from a variety of banks, including domestic banks and international banks for a wide range of going-out rojects through a network covering more than 200 countries and regions 5

6 Shiowner Finance 一 走进中国信保 Vessels Financing Amount The new building orderbooks of commercial vessels 6

7 Business Portfolio Shiyards 7

8 Business Portfolio Cooeration Banks 8

9 Section 2:Case Sharing Keyword: Buyer s Credit Insurance Overseas Lease Insurance Secific Contract Insurance

10 Product overview Buyer s Credit Insurance Covers banking institutions against losses incurred by overseas shiowners SPV default due to olitical or commercial causes, to hel overseas shiowners to urchase shis or offshores from China. Overseas Lease Insurance Provided to financial institutions for the urose of insuring ayment risks of rent receivable under overseas lease arrangement. 10

11 Product overview Secific Contract Insurance Cover Chinese shiyards' losses in accounts receivable that are incurred by buyer-related commercial risk and/or olitical risks during the imlementation of business contract.the reayment eriod under this roduct is usually no more than 2 years. 11

12 Case Sharing Shi Finance for VLCC Year: Shiyard:SWS Shiyard Lending Bank:EXIM CITI BOC NY etc Contract Amount:USD 600M Insured Amount :USD 500M Tenor:12 years include 20% balloon Highlight: 2015 Deal of the Year of Marine Money GTR Best Deals

13 Case Sharing Shi Finance for Multi-Purose Cargo Shi Year: Shiyard:Hudong Shiyard Lending Bank:CEB Bank Insured Amount:USD 100M Highlight: 30% of contract amount - 2 years defferd time; Shiyard make factoring under the olicy; 13

14 Section 3:Advantages of ECA Finance Keyword: Underwriting olicy Financial condition Financial chanel Caital relief

15 Advantages of ECA Finance 1 Underwriting olicy: more stable comared with commercial banks because Sinosure is a olicy-oriented comany to romote Chinese exorts of goods 2 3 Financial condition: otimize the condition,like increase the leverage,rolong reayment eriod,reduce financial cost Financial chanel: rovide extra credit limit besides banks and exand the financial chanel for owner 4 Caital Relief: revent banks from risks and hel them realize the target of caital relief 15

16 Section 4:Challenges in Current Market Keyword: Challenges Basic Princiles Solutions

17 Challenges in Current Market Environment Challenges Shiing and offshore industry are suffering tough time. There are few newbuilding orderbooks in the market. The Vessel did not delivery successfully under the underwritten roject; Waiver Request for the financial covenants under the Facility Agreement; No Time charter affect the feasibility analysis and financial condition is not enough. 17

18 Basic Princiles Basic Princile Shi-owner Leverage Tenor/Profile Shiyard Pre-delivery finance roven track record, nonseculative no more than 80% for shiing and 85% for offshore deends on different kinds tye. no more than 15 years for common roject registered and oerating in China,Minimu m Local Content Selective 18

19 Challenges in Current Market Our Solutions Sharing the risk with every articiant Communication of Information Cooeration on Monitoring 19

20 Wechat Official Accounts Sinosure Sinosure Shanghai Branch Thanks! 20