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Bridging Loan for Marine & Offshore Engineering companies

SPRING’s Bridging Loan is one of two measures to provide one-off financial support for companies in the Marine & Offshore Engineering (M&OE) sector which is experiencing a severe slowdown.

The Bridging Loan provides access to working capital to help Singapore-based M&OE companies finance their operations and bridge short-term cash flow gaps. This loan is available for a year from December 2016.

The Bridging Loan for Marine & Offshore Engineering companies at a Glance

Companies can borrow up to S$5 million each, and up to S$15 million per borrower group1

Scope
  • Working capital (eg. daily operations)
Loan Quantum
  • Up to S$5 million per company; up to $15 million per group
Repayment Period
  • Up to 6 years
Interest Rate
  • Subject to Participating Financial Institutions’ assessments of risks involved

1 A “borrower group” consists of the Applicant Company, the Applicant Company’s corporate shareholders who own >50% of total shareholding (all levels up) and the Applicant Company’s subsidiaries where the Applicant Company holds >50% of the total shareholding of the subsidiaries (all levels down). Loans made to any of the entities mentioned above will therefore count towards an aggregated S$15m limit.

To help M&OE companies access bridging loans, SPRING shares the risk of loan defaults with Participating Financial Institutions (PFIs) in the event of company insolvency.



 

Eligibility

Local enterprises registered and operating in Singapore with at least 30% local shareholding in the M&OE sector are eligible to apply.

Sub-categories of Marine & Offshore Engineering include:

  • Shipyards
  • Contractors to shipyards
  • Offshore services providers
  • Exploration & Production (E&P) companies
  • Oil and gas (O&G) equipment and services companies
  • Suppliers to O&G equipment and services companies

Other Assistance from IE Singapore:

Companies in the Offshore & Marine sector can now access up to S$70 million in credit facilities under the enhanced Internationalisation Finance Scheme (IFS) administered by IE Singapore. Under the IFS, which provides project/asset financing support, companies in the M&OE sector may access up to S$70 million per borrower group in loan quantum for their overseas expansion. For more information, click here.

Interested Marine & Offshore Engineering companies may approach any of the following Participating Financial Institutions (PFIs) to apply for the Bridging Loan*.


Participating Financial Institutions Contact
DBS Bank Ltd 1800 222 2200
Ethoz Capital Ltd 6654 7799
Hong Leong Finance Ltd 1800 3388 338
IFS Capital Ltd 6270 7711
Malayan Banking Berhad 1800 777 0022
Oversea-Chinese Banking Corporation Ltd 6538 1111
RHB Bank Berhad
1800 323 0100
Standard Chartered Bank 1800 743 3000
The Hongkong and Shanghai Banking Corporation Ltd 1800 216 9008 / 6216 9008
United Overseas Bank Ltd 1800 2266 121
*Subject to banks' credit approval

Last Updated on : 27 Oct 2017

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