OREANDA-NEWS. April 21, 2009. Port of Tallinn issued bonds in volume of EUR 20 million (EEK 313 million) with maturity of 5 years, the value of each bond is EUR 1000. The bond issue was arranged as targeted bidding and the whole issue was subscribed by Swedbank AS.
The funds will be used for financing the company’s investments of which the largest are the extension of Muuga container terminal and building of quays no 8 and 9 in Paldiski South Harbour.

In words of Port of Tallinn’s CFO Marko Raid lending from local financial market is a good sign that projects and companies with strong cash-flow can continually be financed in Estonia. “The services supplied from our harbours and operators engaged in the harbours have always been valued for their high quality, quick timing and cost effectiveness. We are certain that despite of the decrease in the global cargo trading volumes, the hard times are a perfect time to develop port’s infrastructure as when the market situation recovers and starts to grow again, we could have a clear competition advantage in servicing new cargo flows in our region,” noted Raid.

In 2009 the Port of Tallinn’s estimated financing need in total is EUR 80 million (EEK 1.25 billion) of which EUR 40 million (EEK 626 million) was financed at the beginning of 2009 with loan from European Investment Bank. The financing need not covered yet (EUR 20 million) is planned to include in autumn 2009 the latest and the negotiations with potential financiers have already started.