The Aker Philadelphia shipyard, awarded at least half a billion dollars in taxpayer subsidies under Pa. Govs. Ridge and Rendell in hopes of creating-preserving a few hundred trade union jobs at the former Navy Yard, is now looking to borrow $100 million through "international capital markets", according to a stock exchange filing in Norway, the parent company's home. More from Bloomberg and Tradewinds (subscription).
This is a good sign for Aker, writes Tradewinds' Aaron Kelley: "The search for new sources of financing and other initiatives involving the yard, which is one of two that are active in the construction of Jones Act tankers (which steam between U.S. ports), serve as a testament to the underlying strength of the group and its core markets."
He notes Aker has also "unveiled plans to invest in Philly Tankers, a start-up that recently firmed up an order for a pair of product tankers at its parent’s Philadelphia, Pennsylvania-based shipbuilding facility." The company last week offered to buy back up to 5% of its shares at a price Arctic Securities broker Erik Nikolai Stavseth told Tradewinds was "a steep discount" to Aker Philly's higher real value, another bullish marker.
Aker jobs now in progress include a 115,000-ton SeaRiver Maritime tanker, four 50,000-ton Crowley Marine tankers and two Matson container ships, Tradewinds noted.