Bristow Group Inc has announced that Bristow Leasing Limited, a U.K. subsidiary, has entered into a new loan facility for 100 million euro to support its Irish Coast Guard contract commitments.
As Vertical magazine reports, the export development guarantee term-loan facility has been negotiated by Bristow Leasing Ltd for an aggregate amount of up to €100 million with National Westminster Bank Plc (NatWest) and also UK Export Finance guaranteeing 80 per cent of the facility (the UKEF Debt).
“The proceeds from the financing will be used to support Bristow’s capital commitments related to the next generation of search-and-rescue (SAR) operations in Ireland,”it says.
UK Export Finance is Britain’s export credit agency and provides the export development guarantee product to “support the working capital and capital expenditure needs of U.K. exporters that meet certain criteria”, it says.
“The proceeds from the UKEF Debt will enhance our financial flexibility as Bristow grows its leading government services business with the new Irish Coast Guard contract investments,” Chris Bradshaw, Bristow’s president and chief executive officer, said in a press statement.
“We would like to thank NatWest and UK Export Finance for their confidence in Bristow and for helping facilitate our continued success,”he said.
Members of Bristow Ireland conducted “technical acceptance” of the AW189 helicopter they will be flying at the aircraft manufacturer, Leonardo, in Milan, Italy, last weekend, according to the company.
The aircraft will have a new livery, as Afloat has previously reported, and this was photographed while one of the helicopters was airborne for the technical test flight.
Bristow has been flying the AW189 for the past ten years, and says that in Ireland a fleet of six such aircraft will “work exclusively for the Irish Coast Guard alongside fixed-wing aircraft and other emergency services”.
Last year, Minister for Transport Eamon Ryan awarded the new ten-year contract valued at 670 million euro excluding VAT to Bristow Ireland.
The new contract which is due to be fully operational by 2025 includes providing for two King Air fixed wing aircraft at Shannon, for five years- allowing for the possibility that the Air Corps, Ireland’s air defence wing, may then assume responsibility for the fixed wing element.
Current contract holder CHC Ireland issued legal proceedings last year over “a number of flaws” in relation to the tender competition, and these proceedings are still in train, along with new proceedings filed earlier this year.
Read Vertical magazine here