Carige to transfer Finbeta's receivable to Bain Capital
Receivables classified as “unlikely to pay” are included in the 366 million euro bad debts package to be transferred to the American investment fund
Savona-based Finbeta is going to be the next Italian shipping company which will have its bad debts transferred from a bank to an investment fund. In fact, as far as Ship2Shore knows, the financial exposure of the Bertani family's subsidiary is recorded within the receivables classified as “unlikely to pay” that the Genoese bank Carige is about to transfer to Bain Capital fund.
The transaction will be carried out within a few weeks and it concerns a basket of credits amounting to a gross book value of approximately 366 million euro, the total payment of which is unlikely and that, compared to non-performing loans, are regarded as less risky.
The fact that Finbeta run this risk was already well known as Carige had admitted that it had to dispose of bad debts. More precisely, the shipping company belonging to the Bertani family has long been exposed with the institution currently managed by Fabio Innocenzi for some 75 million euro mainly related to mortgages granted in the past two decades for the purchase of ships and real estates. Although it is not clear whether the package to be disposed of includes also real estates, ships, or both the assets, it is sure that the short-term ship receivable will be transferred to an institutional investor. At present, the company owns five small chemical tanker units (14 to 21 years old) with a maximum capacity of 15,000 cubic meters.
In 2016, Finbeta had finally managed to sign a restructuring agreement with Carige based on a five-year business plan providing for better economic conditions and debt restructuring, as well as for the conversion of part of its financial exposure and interest payables to the bank into the shipping company's equity financial instruments. Also due to the fact that the charter market for maritime transport of chemical and petrochemical products did not recover as the company expected, Finbeta was not able to fulfil the loan agreements, therefore its financial exposure is going to be transferred to a foreign speculative investor.
If the package that is about to be transferred includes also ships, for Bain Capital it would be the second transaction related to an Italian shipping company as last March it entered Giuseppe Bottiglieri Shipping Company's capital. In compliance with the restructuring plan launched by Bain, the latter recently put its entire tankers fleet consisting of 4 units on the market.