Watson Farley & Williams (WFW) advised an Asian financial institution as arranger, agent, security agent, and lender on a US$201.85 million sustainability-linked Japanese Operating Lease with Call Option (JOLCO) with Ocean Network Express Pte. Ltd. (ONE) as lessee and Financial Partners Group Co., Ltd. (FPG) as equity provider for two portfolios of container boxes comprising dry container boxes and reefer container boxes.
Global container shipping company
Singapore headquartered ONE is a global container shipping company with an extensive liner network service active in 100+ countries. It is jointly owned by Japanese shipping lines Nippon Yusen Kaisha, Mitsui O.S.K. Lines, and Kawasaki Kisen Kaisha (K Line).
FPG is a Japanese company listed on the prime market of the Tokyo Stock Exchange and a JOLCO arranger in the maritime and aviation sectors.
JOLCO structure
The cross-border WFW Assets & Structured Finance team that advised on the deal was led by Hong Kong/Singapore Partner, Madeline Leong, supported by Singapore Associate, Andy Wilson and Trainee, Kate Clancy.
Madeline Leong commented, "We’re delighted to have advised our client on this container box financing with a JOLCO structure. Being instructed on this matter showcases once again WFW’s expertise and experience advising on JOLCO and shipping transactions."