Finland. Meyer Turku Oy
|Date of agreement:||07 Jul 2023|
|Customer:||Meyer Turku Oy|
|Amount in EUR:||EUR 100 million|
NIB has joined a financing facility for the Finnish shipyard company Meyer Turku Oy (Meyer) with a EUR 100 million participation. The financing facility is lead by Commerzbank AG. The facility will finance the construction of two cruise ships.
The loan is a continuation of the cooperation between NIB and Meyer. The previous loan was signed in 2022.
The COVID-19 outbreak in early 2020 had a major impact on the cruise industry, resulting in almost 75% decrease in passenger volumes. The total size of the Meyer Turku or Meyer group existing order book was not negatively impacted by the pandemic, but existing orders were stretched over a longer time period. In addition, the war in Ukraine affected the shipyard’s operation, which has been visible as increased raw material prices, labour supply shortage, as well as the cost of financing, among other things.
Meyer Turku is the core of a value chain that includes domestic and foreign suppliers. The shipyard in Turku is important for the Finnish marine cluster directly and indirectly through subcontractors that are mostly Finland-based companies.
The borrower, Meyer Turku Oy, is family-owned by the Meyer family, and one of the leading European shipbuilding companies. Meyer Turku operates the Turku shipyard in Finland, where vessels have been built since 1737. The Meyer Turku shipyard is specialised in the construction of very demanding, innovative, and environmentally efficient cruise ships. Meyer Turku Oy has around 2,000 employees.
Fulfilment of NIB's mandate
The loan allows NIB to fulfil its role in supporting member countries and businesses in times of economic uncertainty.
The loan aims to support Mayer Turku’s operations disruptions due to the pandemic. As such, a sustainability review is not applicable.