Vessel firm with key role in offshore wind lands multi-million-pound boost
Aberdeen-based vessel operator North Star is aiming to accelerate its bid to become the leading player in Europe’s offshore wind sector and significantly scale its fleet after securing a funding package worth hundreds of millions of pounds from lenders including Royal Bank of Scotland (RBS).
The firm, which is owned by private markets firm Partners Group and also has based in Lowestoft, Newcastle, and Hamburg, has secured the additional debt investment worth up to £425 million.
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Hide AdIt has outlined how this encompasses a £225m package including term facilities from existing lender IFM Investors, and committed capital expenditure and working capital resources from banks including ABN AMRO (sustainability co-ordinator), AIB, NAB, NatWest-owned RBS, and RBC (sustainability structuring advisor). Additionally, the facilities allow for a further £200m in funding, which North Star says enables it to upsize as required, able to streamline new business opportunities in the offshore wind sector. RBC Capital Markets performed the lead advisory role in support of the transaction.


The firm, which has a workforce of 1,400 seafarers and onshore personnel, says it operates 41 multi-purpose ships in the North Sea, and also has three of four newbuild service operation vessels (SOVs) in operation at the Dogger Bank Wind Farm located more than 130 kilometres off the North-east coast of England, with the final asset on schedule for early delivery next year.
North Star added that it has a further four newbuilds under way – an SOV for EnBW's He Dreiht wind farm in Germany, another for Siemens Gamesa Renewable Energy at the East Anglia Three project, and its first two larger commissioning SOVs to further support its offshore wind clients, as it seeks to add 40 hybrid service SOVs to its fleet by 2040.
Fraser Dobbie, North Star chief financial officer, commented: “This £425m strategic investment highlights the attraction of our robust business model and ESG transition journey as we push to become the leading player in Europe’s SOV sector. The infusion of capital from a combination of institutional and bank investors secures access to the capital required to support our continued growth, and provides validation from the lender market of the excellent progress we have made on our strategic journey to build our business for sustainable, long-term success in the offshore wind market.
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Hide Ad“For potential clients, this committed debt package provides certainty on our ability to deliver vessels as outlined in our tender bids, financially de-risking the process completely. This provides us with a competitive edge and a superior ability to turnaround high-quality SOV newbuild programmes more rapidly, ensuring the best value and service in the industry."
North Star, which has been operating for 137 years and is helmed by chief executive Matthew Gordon, in 2022 announced that it had dropped anchor on £140m in financing (including a £50m commitment from the Scottish National Investment Bank), while the same year it revealed that it had secured £100m of contracts to support its North Sea clients. It said in February of this year that it had broken into the European offshore wind market with the newbuild ship bound for EnBW’s He Dreiht wind farm.
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