NJTC, the tanker arm of Sinotrans & CSC, explained that the expenses on chartering the vessels have been very high in recent years due to the sluggish tanker shipping market.
It added that continuing the charters would be unfavourable towards the company's plan to restructure its fleet.
The board of Shanghai-listed NJTC has authorised its subsidiary Nanjing Tanker (Singapore) to spend $467.9m to purchase the vessels from 18 shipowners.
The loss-making NJTC is facing a delisting from the Shanghai Stock Exchange as it remained in the red in the first three quarters of this year.
Shares of NJTC were suspended in April this year after it announced its third consecutive annual deficit.
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