Flex LNG buying five newbuilds for $900m from backer Fredriksen

John Fredriksen-backed Flex LNG is acquiring five newbuildings for $900m from the shipping magnate’s private vehicle Geveran Trading.

Flex LNG is paying $180m per vessel for three MEGI LNG carriers being built at Daewoo Shipbuilding and Marine Engineering (DSME) for delivery in 2020, and a two X-DF LNG carriers from Samsung Heavy Industries for delivery in 2021. The vessels will be delivered from Fredriksen’s Geveran Trading, which is the largest shareholder in Flex LNG.

There will be an additional $6m per vessel for the DSME newbuildings for the addition of full reliquifaction systems.

Flex LNG is undertaking a $300m private placement that will be used to fund the initial 30% of the purchase price, with the remainder payable on delivery. Geveran has guaranteed that the private placement will be fully subscribed.

Posted 11 October 2018

© Copyright 2018 Seatrade (UBM (UK) Ltd). Replication or redistribution in whole or in part is expressly prohibited without the prior written consent of Seatrade.

Marcus Hand

Editor, Seatrade Maritime News