Tallink Grupp signs long-term charter agreement for company’s vessel Isabelle

Tallink Grupp signs long-term charter agreement for company's vessel Isabelle

Tallink Grupp late last week signed a contract with Canadian enterprise Bridgemans Floatel LP/Bridgemans Services Group LP for a multi-year charter of the company's vessel Isabelle, with a purchase option. The agreement is for a bareboat charter, meaning the vessel will be chartered out without Tallink Grupp's crew.

The Latvian-flagged Isabelle, formerly operating on the company's Riga-Stockholm route before the Covid pandemic, and currently housing Ukrainian refugees in Tallinn since April 2022 as part of a charter agreement with the Estonian government, will be chartered to Bridgemans from 1 July 2023.

Commenting on the new charter agreement, Tallink Grupp's CEO Paavo Nõgene said:

"We are very pleased to have reached this new agreement for our vessel Isabelle - a deal that will no doubt have a positive impact on our bottom line.Tallink has historically had many successful charter projects with many of its vessels providing either temporary accommodation or transport in Australia, Canada, Morocco, to name but a few. In recent years the chartering of our vessels has provided us a good alternative revenue stream and a vital buffer during challenging travel restriction times. Our ships and crew have proved themselves to be invaluable partners at global summits as well as in the relief effort of the war in Ukraine.

"It has become clear over the last few years, that the chartering of our vessels has been and will continue to be an important part of our business model going forward. And there are many reasons why the chartering of vessels with long-term contracts makes good business sense for us and mostly it is a combination of the continuing economic uncertainties, low consumer confidence and the significant pressure of increasing costs, such as the pay increases resulting from the recently signed new collective agreement, the slower than expected recovery of the passenger numbers and reduced demand."

Isabelle is expected to stay in Tallinn for refurbishment before departing for Canada later this year.

Tallink Grupp's current agreement with the Estonian Social Insurance Board ends in June 2023. There are currently approximately 900 Ukrainian refugees still living on board the vessel. The Estonian authorities have alternative accommodation plans in place for the refugees after the termination of the contract with Tallink Grupp.

Photo attached: Isabelle, Tallink Grupp

For more information to the media, please contact:

Katri Link
Communications Director
Tallink Grupp
Phone: +372 5304 2121
E-mail: [email protected]

AS Tallink Grupp is one of the leading providers of passenger and cargo transport services in the northern Baltic Sea region. The company's fleet consists of 15 vessels and the company operates various routes under the brands of Tallink and Silja Line. Tallink Grupp's shares are listed on the Nasdaq Tallinn Stock Exchange and Nasdaq Helsinki Stock Exchange.