The expansion of a port is a step closer after a consortium of British and European lenders agreed a £200m package of loans.
The investors – including Allianz, RBS, Lloyds Bank and the European Investment Bank – have backed redevelopment of Dover’s Western Docks.
Allianz Global Investors has agreed to provide a £55m private placement bond; RBS and Lloyds Bank will each provide a £35m revolving credit facility; and the European Investment Bank has confirmed a £75m loan.
The Dover Western Docks Revival project will create a purpose-built cargo and logistics facility. The scheme will also allow to create a ferry terminal in the Eastern Docks, as well as transforming the town’s waterfront with a new marina pier, shops, bars and cafes.
The Port of Dover is busiest Europe’s port handling £119 billion of UK trade each year.
Port’s CEO, Tim Waggot, said: “Dover Western Docks Revival is the single biggest investment ever undertaken by the Port of Dover. It will define how we operate for decades to come. Currently handling 17% of all the UK’s trade in goods, it is crucial the port continues to evolve to meet the demands of an ever changing political and trading landscape. The financial support supplied by blue-chip lenders underlines the critical role Dover fulfills for UK and European economies, businesses and consumers – a prominent role which will remain into the future post-Brexit.”
Allianz Global Investors portfolio manager Adrian Jones said: “The Port of Dover is a unique asset. Given its history and proximity to continental Europe, it is of vital importance to UK trade.
The port has assembled a cost-effective funding solution that matches the most cost-effective debt product – short-term commercial bank debt, medium term European Investment Bank debt and long-term private placement bonds – thus ensuring it can keep the cost of funding the project as low as possible for its customers.”