Port of Amsterdam: “We now have a solid financial foundation to build on”

Port of Amsterdam has contacted Orchard Finance to guide their refinancing project. This had to be done according to three key guidelines: more partnerships, a greater degree of flexibility and a connection to Port of Amsterdam’s sustainability goals. Orchard quickly provided a suitable plan.

“Port of Amsterdam is the director of the fourth largest port in Europe”, states Mathew Punte, Manager Strategic Finance & Treasury. “We oversee the harbour area from Amsterdam to IJmuiden: a dynamic world employing roughly 70,000 people. We aim to be the frontrunner in the transition to a sustainable and circular economy, which will confront us with numerous challenges in the near future.”

Need for a refinancing

“Our challenges include, among others, maintaining port accessibility, making our energy and infrastructure more sustainable, and stimulating clean shipping in the harbour. We are trying to achieve climate neutrality by 2050. As such, we will need to make significant investments in the short term. In combination with the approaching maturity date of our current financing led to the need for a refinancing.”

Prior experience with Orchard

“We had three major targets for this refinancing. Firstly, we wanted to expand our partnership from two banks to three. Secondly, we wished to increase our flexibility in order to be able to make large investments, and lastly, we wanted to connect our financing to our sustainability goals. Orchard had previously assisted us in constructing a new Treasury policy. We were very happy with our prior collaboration, so we were eager to approach them for assistance again.”

“We were also very satisfied with our new Treasury policy.”

An intense selection process

Nicolai Knop, partner at Orchard: “We are eager to work with Port of Amsterdam. They’re at the center of the energy transition, aim to be frontrunner in sustainability, and have an ambitious investment programme. After a thorough selection process, ABN AMRO was added as a third bank. In the context of this refinancing we took into account future growth, and connected the financing to sustainability. If Port of Amsterdam achieves its goals, they will enjoy a lower interest rate on the loans.”

An enjoyable cooperation

Mathew: “We had a great connection from the start, and have always enjoyed working with Orchard. This was very important, as we were faced with a large, complex assignment.” Nicolai adds: “After a thorough preparation, we started the process in January and were able to finish the project by June. This was, among others, due to the smooth cooperation with the banks and legal experts. We were, therefore, able to speed up the process and managed to complete the project a full month ahead of schedule.”

“Orchard possesses the knowledge, experience and contacts.”

Another seven years forward

“The project’s quick completion naturally put us at ease. Orchard doesn’t just bring the correct knowledge, but also a wealth of experience and an extensive network of useful contacts necessary for such a process. Both Port of Amsterdam and Orchard operate under a no-nonsense mentality; we’re go-getters. We enjoy immersing ourselves in the process and achieving results. Port of Amsterdam is able to move forward for another seven years, and has a solid financial foundation to build on. The refinancing project fully matches our goals, and we can turn towards the future once again.”

The ambitions of today and tomorrow

Nicolai concludes: “At Orchard we like to work with clients such as Port of Amsterdam, firms with challenging assignments looking for long-term solutions. Working towards results to be proud of, that lay the foundation for the ambitions of today and tomorrow; That’s what we live for.”