Narrative
Full Description
Project narrative
In December 2015, China Development Bank (CDB) provided a €130 million EUR loan to Piraeus Container Terminal S.A. (PCT) — a special purpose vehicle (SPV) — for the Piraeus Container Terminal 3 Expansion Project. This line of credit loan carried an interest rate of 3-month Euribor plus an unknown margin, a maturity period of 15 years, a grace period of five years, and a drawdown period of five years. The loan's repayment period, to be paid in semi-annual installments, began in 2020 and would end in 2030. The loan was secured by a potential commitment of the PCT's cash reserves, its mechanical equipment (which had a total accounting value of €50,240,340.75 EUR and a depreciable value of €43,549,278.57 as of December 31, 2015), and a pledge of the share capital in PCT held by its parent company, COSCO Pacific Limited. The loan also carried an unspecified management fee. This loan is captured by linked Record ID#90694. Then, in 2018, PCT and CDB renegotiated the terms of the loan. As a result, the pledge of mechanical equipment and shares held by COSCO Pacific were dropped as collateral, the management fee was abolished, and the interest rate margin was lowered by 0.4%. This rescheduling is captured by this project. PCT is a company incorporated in Greece and a wholly owned subsidiary of COSCO Pacific Limited. PCT was established to manage Container Terminals No. 2 and No. 3 at the Port of Piraeus that COSCO Shipping took control over on October 1, 2010, after striking a concessional agreement in 2008.