OXE Marine has signed new financing agreements and secured a total of SEK 49.2 million to fund an all-time-buy of BMW engines.
The funding agreement – approximately EUR 4.5 million – has been signed with SEB regarding a working capital overdraft facility of SEK 30 million in addition to loan agreements with Tedde Jeansson and Powersports Plus (part of Outdoor Network), two of OXE Marine’s largest shareholders, of SEK 19.2 million.
The agreement follows an announcement from the diesel engine manufacturer regarding its new supply and development agreement with GM Marine.
OXE Marine has confirmed that its existing engine supply agreement with BMW will conclude following this purchase, enabling a transition to GM powertrains for OXE’s next-generation diesel outboards.
This reinforces our strategy of partnering with major automotive manufacturers to bring the latest engine technologies to the marine sector.
Paul Frick
Under the BMW all-time-buy agreement, OXE will acquire a sufficient quantity of BMW engines to ensure uninterrupted market supply during the transition between the two powertrain platforms.
This purchase secures continued delivery of OXE’s current models powered by BMW diesel engines while preparations advance for the introduction of the new GM-based product line.
Under the agreement, BMW will continue to supply spare parts, ensuring long-term aftermarket support for existing customers.
In addition to the SEB facility and the loan agreements, OXE Marine has invested SEK 19 million of its existing cash resources to the all-time-buy plan.
In total, the engine company will invest SEK 65 million in powerheads to secure a stable and long-term supply pipeline of engines for the marine market.
Strong position
Under this latest finance agreement, the SEB facility will mature no later than 1 December 2026 with a possibility to extend for an additional 12 month-period, subject to credit approvals.
“The collaboration with BMW has played an important role in OXE’s development, helping us establish a strong position in the commercial marine market with a proven, fuel-efficient, and durable powertrain,” said Paul Frick, CEO of OXE Marine.
“The all-time-buy agreement allows us to maintain production and fully support our customers during the transition to the next generation of engines co-developed with GM Marine.”
He added: “This reinforces our strategy of partnering with major automotive manufacturers to bring the latest engine technologies to the marine sector, while ensuring continuity of engine and spare parts supply throughout transition periods.”
