This module examines the challenges and issues in today’s maritime sector, in terms of the financial management and investment appraisal, the availability of bank finance and the bank credit analysis as well as the alternative sources of ship finance, including Asian financing, Export Credit Agencies, private and public equity, high-yield bond markets and mezzanine ship finance. Advanced knowledge of shipping financial management and the impact of economic variables on the financial operations of shipping business organizations are analysed. You will receive in-depth training through several hands-on exercises and case studies, in order to enable you to develop, appraise, negotiate and select alternative shipping projects.
Learning outcomes
By the end of the module, you should be able to:
Appraise the ship finance sector in terms of markets, participants, sources of ship finance, current trends and future challenges
Implement financial analysis for investment in the shipping industry
Analyse the cost of capital and the capital structure of maritime organizations
Develop a deep understanding of shipping bank processes when extending a shipping loan facility
Evaluate alternative sources of capital for shipping projects
Evaluate the appropriateness of private and public equity and high-yield bonds
Course outline
Shipping markets: cyclicality, timing and forecasting
Capital budgeting and investment appraisal
Cost of capital and capital structure in shipping
Financial analysis of a shipping project
Bank shipping loans and bank syndication
Bank credit policy and analysis
Bank loan monitoring, legal considerations and workouts
Issuance of a shipping bank loan
Alternative sources of ship financing (public and private equity and debt, leasing, etc.)