RIJEKA, Jan 23 (Hina) - The Croatian government on Thursday approved a US$17 million loan in state guarantees for the Viktor Lenac shipyard to be granted by the Croatian Bank for Reconstruction and Development (HBOR).
RIJEKA, Jan 23 (Hina) - The Croatian government on Thursday
approved a US$17 million loan in state guarantees for the Viktor
Lenac shipyard to be granted by the Croatian Bank for
Reconstruction and Development (HBOR). #L#
Real estate owned by the shipyard will be mortgaged as collateral,
with a deal to be signed in February, the Rijeka-based company
said.
The HBOR will thus participate in financing the completion of the
shipyard's development project, alongside the International
Finance Corporation and other investors and stockholders.
Of some $118 million necessary to wrap up Viktor Lenac's
development cycle, $43.5 million was missing.
This sum will be secured through loans totalling $31 million, of
which $17 million by the HBOR, new share emissions in the amount of
$12.2 million as part of increasing equity, and through $300,000
from the company's own means and other loans.
Viktor Lenac will spend $13 million on current assets and 30.5
million to finish work in the second stage of the development
cycle.
The shipyard said the completion of its development would ensure
its survival on the world market in the long term, as well as full
employment for more than 1,600 workers in Viktor Lenac and 1,000
sub-contracts.
Despite the 2002 crisis, clients trust Viktor Lenac. The U.S. Navy
recently extended a contract for the maintenance of Six Fleet ships
in Lenac which the company says has been a rare case for other
shipyards in the Mediterranean.
(hina) ha sb