Skip to main content

Diesel outboard manufacturer receives $15.7 million credit facility

Cimco Marine AB said it received a credit facility of up to $15.7 million (14 million euros) for research and development of its OXE family of diesel outboards. The loan comes through the European Investment Bank’s Fund for Strategic Investments.

Stockholm-based Cimco said in a statement that the credit facility will finance up to 50 percent of the development of OXE diesel outboards, which are based on 6-cylinder twin-turbo BMW engines. The outboards will range from 200 to 300 hp.

The facility is divided into three tranches of 4 million euros, 4 million euros and 6 million euros. The tranches are conditional upon Cimco meeting specific sales targets.

“The loan will support us in meeting our growth ambitions through investment in working capital needs, expanding production capacity and increasing our sales and marketing initiatives,” said Myron Mahendra, CEO of Cimco, in the statement. “Additionally, the company will use the funds to develop its product range whilst improving its efficiency, thereby lowering emission further, as well as reducing other pollutants.”

“The EU is determined to deliver on its commitments to reduce greenhouse gas emissions, and we are working with member states on their plans to become carbon-neutral by 2050,” said Arias Cañete, an EU commissioner for climate action and energy, in the statement. “Cimco's outboard engine project drastically reduces emissions while enabling the coast guard and rescue police who use the heavy-duty engines to continue carrying out their work at sea.”

Related

1_LIMESTONE

Limestone Secures Financing for Expansion

The company said the $6 million in credit will be used to improve its Tennessee manufacturing facility and buy new equipment.

1_MCKENZIE

Mastry Marine Names Repower Center

St. Augustine, Fla.-based McKenzie Marine is the engine distributor’s latest designated Suzuki Repower Center.

1_VANDERBILT

Vanderbilt Ships First Pontoon

The company said the 700T Series was the first model shipped from its new Fort Wayne, Ind., factory and was delivered to The Marina in Angola, Ind.

1_CHIPS.ACT

NMMA Celebrates CHIPS Act

The legislation aims to return semiconductor manufacturing to the U.S. and allows businesses to deduct R&D costs in the same year they are incurred.

1_COX

Cox Marine Hires Sales and Support Staff

The diesel outboard builder this week brought aboard a new regional sales director, regional sales manager and an aftersales manager.

1_DEALEROUTLOOK

Boating Interests Lose Wind Farm Battle

The Ohio Supreme Court has ruled that a proposed wind farm off the Cleveland, Oh., waterfront meets planning requirements.

1_INFLATION.JULY

July Inflation Data Lags June

Consumer Price Index results may indicate that inflation has peaked, and Producer Price Index data was below market expectations.

1_YAMAHA

Yamaha Posts Higher Sales, Profit

The company’s first half 2022 net sales increased to $1.93 billion, and segment income rose to $330 million.