GOTHENBURG, Sweden,
Sept. 16, 2022 /PRNewswire/
-- In a strong tonnage market, Concordia Maritime has
entered into an agreement for the sale of the three product
tankers, Stena Primorsk, Stena Performance and Stena Provence, all built in 2006 and of 65,200
dwt. The sale is expected to have a positive liquidity effect of
approximately USD 30 million. The
surplus will be used for repayment of loans.
The buyer is based in Europe
and delivery is expected to take place during the fourth quarter of
2022. The agreed price is significantly above the market valuations
made mid 2022.
Second-hand prices for product tankers have risen sharply in the
past six months as the freight market has soared. Tonnage older
than 10 years has risen the most in percentage terms. Since the end
of March 2022, benchmark prices for a
15-year-old MR vessel (47,000 dwt) have risen by around 70 percent.
Behind the development is a strong tanker market as a result of,
among other things, changed trading patterns due to the war in
Ukraine and a high demand for
ships.
"The sale of the vessels is made primarily to take advantage
of the increased ship valuations. We are now seeing a massive
interest in second-hand tonnage. The tanker market is cyclical and
our business model includes both purchases and sales of vessels.
Here, timing is absolutely crucial. Right now we are getting paid
very well for our oldest ships," says Erik Lewenhaupt, CEO of Concordia Maritime.
In accordance with existing bank agreement, the surplus from the
sale will be used for accelerated repayment of loans and thereby
strengthening the company financially.
After the sale of the three ships, Concordia Maritime's fleet
consists of four ships built in 2009-2011.
For images of Stena Primorsk, Stena Performance and Stena Provence, please visit
concordiamaritime.com/en/news/images
This information is information that Concordia Maritime
Aktiebolag (publ) is obliged to publish in accordance with the EU
Market Abuse Regulation. The information was provided by the
contact person below for publication on 16
September 2022 at 11:45
CEST.
CONTACT:
For more information, please contact:
Erik Lewenhaupt
CEO, Concordia Maritime AB
+46 704 855 188
erik.lewenhaupt@concordiamaritime.com
This information was brought to you by Cision
http://news.cision.com
https://news.cision.com/concordia-maritime/r/sale-of-three-p-max-vessels,c3632213
The following files are available for download:
https://mb.cision.com/Main/1948/3632213/1627612.pdf
|
Concordia Maritime -
Press release - 20220916
|