SCI inks USD 103.28 mn loan deal with SBI

Mumbai, Apr 19 (UNI) State-owned Shipping Corporation of India (SCI) today signed a USD 103.28 million loan agreement with State Bank of India (SBI) for financing purchase of a 3,19,000 DWT very large crude carrier (VLCC).

Earlier on March 30, SCI had signed a loan deal of USD 103.28 million with KFW of Germany, in association with Citigroup and Nordea Bank, for funding purchase of another VLCC of same capacity.

These two VLCCs are the largest ships to be ordered under Indian registry, surpassing earlier two VLCCs of 3,16,000 DWT each acquired by SCI, the company informed the Bombay Stock Exchange.

These VLCCs are being built by South Korea's Daewoo Shipbuilding and Marine Engineering, it added.

Both the loans have a tenure of 10 years after the delivery of the ships, and have been secured by offering the ships as security, but without any Government's guarantee, the release added.

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