SFL Acquires Two Containerships, Settles Bulker Claim

Marinelink.com
Tuesday, March 11, 2014

Ship Finance International Limited (SFL) has announced the agreement to acquire two 5,800 teu post-panamax container vessels built in 2001/2002 in combination with long-term charters. The vessels are expected to be delivered to SFL over the course of the next few weeks, and the annual EBITDA contribution is estimated to be approximately $5.5 million on average during the charter period. The charters include a purchase option with profit share after five years.

Ole B. Hjertaker, CEO of Ship Finance Management AS, said in a comment, "Similar to the acquisition of the seven 4,100 teu container vessels last week, the acquisition of these additional 5,800 teu container vessels were also sourced from the German KG market. While the capital to be invested in the vessels is limited, the risk/reward profile of the transactions is viewed as attractive. Our business model allows us to target opportunities across our core business segments, and our main strategy remains to acquire modern vessels and rigs and combine with charters to leading operators."

SFL also announced the settlement of a claim relating to four Handysize dry bulk carriers which were redelivered to the company in 2012, before the final maturity of their charters. A significant portion of the settlement amount has been paid to SFL in cash already, with the remaining amount to be paid in installments over the next three quarters. The company expects to book a gain of approximately $25 million relating to the settlement.

Hjertaker continued, "We are also happy to see the effect of our resolve and patience coming to fruition with the settlement of a two year old chartering dispute. The vessels in question have been operated in the market without any disruption, and the market has recovered from the low-point two years ago. The cash received from the settlement will be made available for new investments."

Maritime Reporter October 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Contracts

Dutch Yards May Need to Rethink Contract Structures

Rotterdam-based law firm AKD said a recent decision of the Dutch courts means that shipyards in The Netherlands may no longer be able to rely on the right to retain

LR to Class Maersk Supply Service Anchor Handlers

The six vessels (plus four options) placed in the Norwegian yard will be assigned Lloyd’s Register (LR) class notations 100A1, Offshore Supply Ship AHTS, Fire Fighting Ship 1 (2400),

Egypt Eyes Suez Container Port Renegotiation

Egypt is trying to renegotiate an extension of an agreement worth $1.5 billion with Suez Canal Container Terminal which has a concession to run a port near the entrance to the canal,

Container Ships

US Port Congestion Hides Deeper Issues

Ports on the U.S. West Coast are currently suffering from chronic congestion, but are there deeper issues affecting their performance?   Drewry’s new report Container

Hamburg Cargo Volumes at Record High

Seaborne cargo throughput of 110 million tons in the first nine months sets new record for Port of Hamburg    With total throughput of around 110 million tons,

Rates Increase Boosts Diana Containerships Q3 Income

Diana Containerships Inc. reported net income of $1.4 million for the third quarter of 2014, compared to a net loss of $0.7 million for the respective period of 2013.

News

Hagel Resigns as Defense Secretary

U.S. Defense Secretary Chuck Hagel resigned on Monday, the first major change to President Barack Obama's Cabinet since his Democrats were routed in midterm elections three weeks ago.

Ferus Smit to Launch Newbuild Bulk Carrier

Ferus Smit will launch newbuild general bulk cargo vessel Arklow Brave on Friday, December 12, in Westerbroek.   Arklow Brave is the fifth vessel in a series

US Port Congestion Hides Deeper Issues

Ports on the U.S. West Coast are currently suffering from chronic congestion, but are there deeper issues affecting their performance?   Drewry’s new report Container

Vessels

Ferus Smit to Launch Newbuild Bulk Carrier

Ferus Smit will launch newbuild general bulk cargo vessel Arklow Brave on Friday, December 12, in Westerbroek.   Arklow Brave is the fifth vessel in a series

LR to Class Maersk Supply Service Anchor Handlers

The six vessels (plus four options) placed in the Norwegian yard will be assigned Lloyd’s Register (LR) class notations 100A1, Offshore Supply Ship AHTS, Fire Fighting Ship 1 (2400),

US Orders Trawler with Common-Rail Technology

Tier II-compliant 32/44CR technology to deliver fuel efficiency, low emissions and improved productivity   MAN Diesel & Turbo has received an order for an MAN

 
 
Maritime Careers / Shipboard Positions Maritime Contracts Naval Architecture Offshore Oil Pod Propulsion Port Authority Ship Electronics Ship Repair Sonar Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1085 sec (9 req/sec)