ASM secures Dhs760 million financing facility from ADCB

Al Seer Marine (ASM), a subsidiary of IHC, has secured Dhs760 million ($207 million) financing facility from Abu Dhabi Commercial Bank (ADCB).

The eight-year facility is secured through first-priority mortgages over a selected group of operating vessels, reinforcing the company’s capital efficiency and asset-backed growth strategy.

ADCB, acting as sole underwriter and Mandated Lead Arranger, extended the facility on highly competitive terms-marking the second major transaction between the two organisations.

In early 2025, ADCB provided an Dhs210 million ($57 million) facility to ASBI Shipping, the joint venture between Al Seer Marine and B Shipping, to support the acquisition of small and midsize LPG tankers.

“We’re proactively optimising our capital structure to unlock high-value, high-growth opportunities and reinforce our role as a powerhouse in delivering the UAE’s maritime vision. With this funding arrangement, we’re well-placed to serve the country’s momentum to accelerate investment across LNG, LPG, crude oil, and petrochemicals.

ADCB’s continued partnership reflects deep institutional trust in our long-term strategy,” said Guy Neivens, Chief Executive Officer of Al Seer Marine.

Al Seer Marine has steadily earned the confidence of top-tier financial institutions, securing support from local leaders. The company has leveraged this financial backing to develop a resilient, future-ready fleet while advancing strategic investments across multiple sectors, including naval shipbuilding, autonomous Unmanned Surface Vehicle (USV), the world’s largest 3D printer, and more.

Meanwhile in May Al Seer Marine (ASM), a frontrunner in advanced maritime solutions and a subsidiary of International Holding Company (IHC), has secured a production agreement valued at Dhs47.6 million to deliver high-speed interceptor vessels to Albwardy Damen (Damen Shipyards Sharjah – DSSh).

Delivery will span 42 months, with the units slated for integration into offshore patrol vessels (OPVs). All vessels will be designed, built, and outfitted entirely in the UAE, in alignment with the country’s “Make it in the Emirates” industrialisation initiative.

“The global OPV market is projected to grow from $38.1 billion in 2024 to $73.3 billion by 2033, at a CAGR of 7.15 per cent, according to a recent report published via GlobeNewswire—positioning it as one of the highly profitable segments in the shipbuilding industry,” said Guy Neivens, CEO of Al Seer Marine.

He added, “With our long-term strategic vision, we anticipated this trajectory early, driving targeted investments in our technologies, infrastructure, and engineering depth to establish the naval shipbuilding vertical as a core driver of our revenue growth, portfolio diversification, margin resilience, and long-term value creation for our investors.” The move comes in response to accelerating global and regional demand for OPVs, particularly in the Middle East, where maritime security and naval capability development have become national imperatives.

In 2024, Al Seer Marine reported operational profits of Dhs107 million on revenues exceeding Dhs1.28 billion. The new production mandate is expected to enhance financial performance over the contract period and further strengthen the company’s shift toward high-value, IP-driven manufacturing and defence export capabilities within the UAE.

Earlier in October 2024 Al Seer Marine, a frontrunner in the maritime industry and a subsidiary of International Holding Company (IHC), announced that it has secured $80 million in financing from BOCOM Financial Leasing, (BOCOM Leasing), a subsidiary of the Bank of Communications, one of China’s largest commercial banks, for its newly delivered MR tankers, Betelgeuse and Bellatrix.

This transaction represents the first financing that Al Seer Marine has secured for its shipping fleet from outside the UAE.

These two tankers have been built ready for alternative fuels such as Liquefied Natural Gas (LNG), ammonia, and methanol, ensuring compliance with the latest environmental regulations.

With a deadweight of 49,757 MT each, both vessels are IMO II/III oil and chemical tankers designed to carry six fully segregated grades of cargo and have been fixed on five-year time charters (TC) to Reliance International DMCC.

Guy Neivens, CEO of Al Seer Marine, said, “Securing this financing from BOCOM Leasing is a key step in our strategy to diversify funding sources and strengthen our fleet with backing from both local and international financial institutions.

It highlights the robustness of our financial performance, which continues to attract global investors like BOCOM. This deal reflects strong confidence in the future revenue potential of Al Seer Marine, driven by the expected rise in global demand for liquefied natural gas (LNG) and petrochemicals. As the world shifts towards sustainable energy sources, we are well-positioned to capitalise on these trends and drive sustainable growth for our company and its stakeholders.”

WAM