Political uncertainty tempers Noatums Spanish investment

Noatum Ports has held extensive talks with both the Ministry of Economic Development and with the Valencia autonomous government in respect of its investment plan, which is mainly focussed on developing the port of Valencia to handle box vessels of 18,000 teu. However, securing a better deal with the local stevedores has proved elusive.

The decision to place a hold on new investment comes at a time when Noatum Ports has succeeded in refinancing €150m of bank debt, taking advantage of increased market liquidity. Banco Santander, Bankia, CaixaBank and ING Bank BV have agreed to extend a syndicated loan taken out in 2010 – which was due to mature this year – until 2020.

In addition, the owner has been able to secure a further €80m to modernise the container terminal in Valencia, on which work commenced more than a year ago. This involves both upgrades to existing infrastructure and the acquisition of super post-panamax handling equipment.