Sergey Shishkarev’s group of companies “Delo” consolidates its stevedore assets through foundation of a new company – Delo Ports Ltd. Annual revenues of the company according to IFRS is aound 4 billion rub., EBITDA – about 2 billion rub. Group’s representative says it is easier to attract financing within the means of the integrated company. However Delo Ports will carry a substantial debt load of up to 5 billion rub.
Timofey Telyatnik, “Delo” Group Company Chairman of the Board of Directors, said that a Cyprus company Delo Ports Ltd. has been founded last week. It consolidated stevedore assets of “Delo” Group Company. The Cyprus company owns 100% of “Transterminal-Holding” that had been allocated from the “Delo-Center” LLC. “Transterminal-Holding” holds control over 100% shares of 3 stevedores and a bunkering company in Novorossiysk sea port. These include a container terminal with a capacity of 350 thous. TEUs (Twenty-foot Equivalent Unit) per year, a transshipment complex having a capacity of 500 thous. tons per year and a grain terminal with capacity of 2 million tons per year. There are no more stevedores in Novorossiysk independent from JSC “Novorossiysk Commercial Sea Port” (NCSP, Russian: НМТП).
All terminals had been built up from scratch. According to Timofey Telyatnik, assets consolidation marks the completion of the first phase of company’s capital investments in port business. “We’re embarking upon the final stage of construction the rail-road that will increase grain terminal capacity up to 3.5 million tons. New berth is the next possible project; it can enhance container terminal capacity up to 600-650 thous. TEUs. This shall require approximately $200 million of investment funds”, – top-manager says.
In recent years the market expected “Delo” group terminals to be bought by NCSP. Mr. Telyatnik outlined that such possibility did exist but now they do not intend to sell off the assets and therefore the consolidation is not by any chance a part of a beforesale preparations. Furthermore Delo Ports will help the group to allocate Group’s stevedore business from other assets. “Global Container Service” is one of other “Delo” projects; it includes several out-of-port terminals, customs broker, container trucks and railway platforms. Another asset – 50% of CJSC “Transport Corporation” that owns about 1.5 thous. railway tank cars and other assets including capital facilities.
According to our sources, Sergey Shishkarev owns 90% of Delo Ports Ltd. and 10% belongs to Timofey Telyatnik. Following the results of 2012 the company will publish consolidated statement according to IFRS. Delo Ports annual revenues, given the “Kommersant” information, are forecasted in the amount of 4 billion rub., with EBITDA of 2 billion rub. However the company’s debt load is quite substantial, following the results of 2012 it will amount up to 5 billion rub. Loans were taken on from Sberbank (the grain terminal construction) and Raiffeisenbank – to reacquire 50% of container terminal from National Container Company. “Both credits were given out for 7 year period and there are no problems in loan service now”, – specifies “Kommersant” source.
Elena Sadovskaya from RMG says that Delo Ports debt/EBITDA ratio will be at level of 2.5. “But this is a normal figure for a stevedore company considering all its terminals had been built from scratch”, – remarks the expert. According to her, for sensible loan support Delo Ports will have to build up its financial performance by the means of effective assets employment, because for now terminals are still under-loaded.
Evgeniy Timoshnikov