Hapag-Loyd has secured $4 billion in long-term financing for 24 large container ships it ordered in October 2024. The ships will be equipped for both liquefied natural gas (LNG) and biomethane and will be ammonia-ready.
The company said the financing will be carried out on the basis of Hapag-Lloyd’s Green Financing Framework which DNV certified as complying with the standards of the Green Loan Principles of the Loan Market Association (LMA).
Around $900 million of the purchase price will be financed using the company’s own funds; a total of $500 million will be made available from two banks in the form of bilateral mortgage loans; $1.8 billion will be financed via three leasing structures; and $1.1 billion will be financed via a syndicated credit facility backed by the China Export & Credit Insurance Corporation (Sinosure). The financing share amounts to a total of around 80% of the investment volume, with maturities ranging between 10 and 18 years.
“We are continuously modernizing our fleet in order to deliver a high quality of service and to achieve our ambitious decarbonization goals,” said Mark Frese, CFO/CPO of Hapag-Lloyd AG. “The successful conclusion of several attractive financial transactions confirms that green financing components are becoming increasingly important. In addition, we are pleased to be able to finance newbuild projects in China for the first time with the Sinosure transaction.”
Hapag-Lloyd said it aims to be net-zero by 2045. It is committed to a fleet reduction of 30% of absolute greenhouse gas emissions by 2030 compared with a 2022 baseline.
The new vessels can be operated using biomethane. Hapag-Lloyd said the fuel can reduce CO2 equivalent emissions by up to 95% compared to conventional propulsion systems. The new ships will also be ammonia ready. Delivery will take place between 2027 and 2029.
