Cyprus based maritime fund aims for the top

Cyprus based Global Maritime Fund (GMF) this week announced that it has been endorsed by International Maritime Industries (IMI), the largest shipyard in the Middle East and North Africa region (MENA).

The newly launched maritime fund will offer innovative financing solutions to key customers and maritime companies across the globe.

In addition, GMF stated that it aims to become the world’s largest maritime fund, offering solutions that are globally competitive, scalable, and fit for purpose, with a focus on ESG financing to support IMI’s key regional and international customers and other companies operating in the Saudi maritime industry.

GMF will raise capital through regional and international investors, as well as long-term agreements with key customers such as Bahri and ARO that will deliver stable income.

The company is expected to be managing assets worth $1.25 billion (SAR 4.7 billion) by the end of 2023, growing to $10 billion (SAR 37.6 billion) over the next 10 years.

GMF, which will provide up to 100 per cent financing for ships and rigs built at IMI’s yard in Ras Al Khair, Saudi Arabia, was launched during a ceremony in Cyprus attended by the country’s Finance Minister Constantinos Petrides, IMI Chairman Ahmed Al Sa’adi, the Saudi Ambassador to Cyprus Khalid Al Shareef, IMI CEO Abdullah Al Ahmari, and GMF Chairman Feras Al-Sahan.

The ceremony, which took place on Tuesday, was also attended by Pelagic Partners founders Niels Hartmann and Atef Abou Merhi, various Pelagic Partners and IMI executives and board members, as well as other government officials.

“At IMI we are incredibly honoured to be part of Saudi Arabia’s ambitious Vision 2030 efforts to build a technologically advanced and sustainable maritime hub at the centre of its logistics industry,” IMI Chairman Ahmed Al Sa’adi said.

“The launch of the Global Maritime Fund goes hand in hand with our vision to become a global leader in maritime innovation and sustainability, expanding our service offering as we work to become one of the world’s most advanced maritime facilities,” he added.

Meanwhile, IMI CEO Abdullah Al Ahmari explained that the launch of the Global Maritime Fund will enable IMI to offer a brand-new value proposition that will help reinforce its position as a key driver of the Saudi maritime industry.

“GMF further enhances our comprehensive service offering that provides customers and business partners with a range of innovative, sustainable maritime products at internationally competitive prices. We are proud to be at the forefront of this significant initiative,” he added.

Moreover, GMF Chairman Feras Al-Sahan noted that the launch of the Global Maritime Fund has created a unique and unprecedented value proposition in the maritime industry.
“It is the first independent maritime fund providing innovative financing solutions that are globally competitive, scalable and fit for purpose, with a focus on ESG financing to support IMI’s key regional and international customers, and other companies operating in the Saudi maritime industry,” Al-Sahan said.

“We look forward to working with the fund manager, Pelagic Partners, to grow the fund over the coming years by developing strong relationships with key regional and international banks and investors, with the aim of becoming the world’s largest maritime fund,” he added.

Pelagic Partners, the company that is managing GMF, is an Alternative Investment Fund Manager founded by the Hartmann and Abou Merhi families and managing one of the biggest shipping portfolios in Cyprus.

The company’s founders are anchor investors and long-term shipowners who have access to and intimate knowledge of the shipping markets.

The Pelagic Partners management team controls the whole value chain which allows them to close market-level acquisitions and make them competitive.

Pelagic Partners run their own fund in a similar fashion to a traditional shipowning company and currently have 3 compartments exceeding $100 million of assets under management.

The latest compartment is focused on new-build vessels to serve the offshore wind industry, while also possessing the necessary architecture to place the company in a leading position in the renewables market by 2030.

IMI, a joint venture between leading industry partners Saudi Aramco, Bahri, Lamprell, and HHI, is the largest shipyard in the MENA region at nearly 12 million square meters.

It provides new build and maintenance, repair, and overhaul (MRO) services for commercial vessels, including VLCCs, Bulk Carriers, Offshore Support Vessels, and Offshore Jackup rigs.