Offen Group, DEVK Lend a Hand to Marenave

  • Business & Finance

Hamburg-based shipping trust Marenave Schiffahrts has reached an investment agreement with Offen Group and DEVK insurance firm as the company continues its restructuring efforts.

Under the deal with CPO Investments and DEVK Allgemeine Versicherungs-Aktiengesellschaft, the investors will provide an initial financing in the minimum amount of EUR 2 million (USD 2.1 million) to be effected by way of capital measures.

The parties will engage in further talks on financing and investment, depending on the further course of the project, in the order of EUR 14 million.

Marenave informed that this obligation is subject to conditions precedent, in particular that the banks financing the Marenave-fleet release the company from its liabilities incurred for the benefit of the banks. In the course of the release from liabilities it is envisaged to sell off the Marenave-fleet.

In late January 2017, Marenave managed to secure some breathing space from financing banks as it received written declarations according to which the banks said they would extend their statements not to seriously demand payment of the amounts due under the respective ship financing loans and under the corresponding guarantees given by Marenave until February 28.

The shipping trust started its negotiations with the financing banks in late 2016 in order to avoid insolvency after it received notice from two banks financing the Marenave-fleet stating that Marenave’s restructuring concept will not be supported.

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