Knightsbridge Tankers Announces Vessel Sale
December 26, 2007
Knightsbridge Tankers Limited has agreed to sell its 1995-built double hull VLCC tanker Chelsea for the net sale proceeds of approximately $99 million. Delivery to buyers is expected to take place in January 2008.
The sale will generate approximately $78.8m in liquidity and a gain of approximately $49 million, based on delivery December 21, 2007. In addition, the vessel is recently fixed to the beginning of February 2008 and the net result would be for the benefit of Knightsbridge.
The additional liquidity will partly be used to fund pre delivery installments on Knightsbridge's newbuilding program, and will in addition strengthen the Company's dividend capacity going forward. The sale of the vessel represents no change in the Company's strategy, but should be seen as an opportunistic transaction in the present strong tanker market.
Related News
Collapsed Baltimore Bridge Blasted into Pieces
US Coast Guard Orders Two More Fast Response Cutters
Worker Dies in Accident at Peru's Chancay Megaport Project
Vessel Hijacking Attempt Reported off the Coast of Yemen
Tanker Crewmembers Plead Guilty to Environmental Crimes in the US