Seatrade Maritime is part of the Informa Markets Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

Name change and ship owning exit for Aker Philadelphia Shipyard

Name change and ship owning exit for Aker Philadelphia Shipyard
Aker Philadelphia Shipyard intends to divest its shipowning interest, and plans to rename itself Philly Shipyard.

As the yard reported a $1.9m profit for the second quarter, broadly in line with last year's performance, it also announced plans to sell-off interests in eight product tankers.

"The company has decided to launch a plan to divest all of its shipping assets," AKPS said in its earnings release. "The company is presently engaged in negotiations with a third party related to the buy-out of AKPS’ future interests in the four-ship AKPS-Crowley joint venture. In addition, Philly Tankers is currently engaged in negotiations with a third party related to the purchase and sale of all four of its product tankers."

The eight Jones Act tankers have an approximate contract value of $1bn. Both deals are expected to be finalised in the third quarter of this year.

Reporting profit on the four vessels under construction for the AKPS-Crowley shipping venture is made slightly more complicated by the yard's interest in the vessels, as 49.9% of the vessels' profit is deferred over its lifetime. Adjust to account for this, EBITDA stood at $9.5m for Q2.

AKPS had a $849m backlog at the end of the quarter, with deliveries through to 2018. After the reporting period Philly Tankers have declared options for two further vessels, subject to conditions.

Commenting on the planned name change, president and ceo Steinar Nerbovik said: "Changing our name to Philly Shipyard more accurately reflects the shipyard we have become in recent years. We have delivered on our promises and stand firmly on our own two feet as a company. The new name also represents the proud tradition of shipbuilding in Philly and the city with which we are so intimately linked."