New York-listed DHT said it had entered into an agreement to buy all the outstanding shares in Singapore-incorporated Samco Shipholding. DHT will buy the shares for $317m in cash.
Samco has a fleet of seven VLCCs with an average age of 4.5 years, five of which are on time charters to oil majors. DHT will also acquire Samco’s 50% stake in Singapore-based Goodwood Shipmanagement.
“This is a big step for DHT. The Samco fleet consists of modern high quality vessels all being fitted with fuel saving devices. The time charter contracts are with first rate counterparties and are at premium levels to the current time charter market,” DHT senior management said in a statement.
“With the 50% shareholding in Goodwood bringing technical management into DHT, we are now a fully integrated ship owning company with all functions inhouse."
After the acquisition is completed Samco will have a fleet of 20 VLCCs, including six under construction, two suezmaxes and two aframaxes. Samco has $319.6m in debt and DHT has a underwritten offer from Nordea Bank and DNB to refinance Samco’s debt at Libor plus 2.5%.
To help finance the acquisition DHT has announced a proposed offering.
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