Pacific Basin Sells Harbor Towage Business to Smit Lamnalco

Pacific Basin Shipping Limited has sold to Smit Lamnalco its entire shareholding in PB Towage Australia (PBTA), including all its harbor towage operations and 16 harbor tugs and two additional assests (one harbor tug and one barge) currently owned by other PB companies.

The transaction is expected to complete in January 2015 and will constitute the sale of Pacific Basin's entire harbor towage assets and activities.

Mats Berglund, CEO of Pacific Basin, said, "Pacific Basin has been engaged in the harbor towage business since 2007. PB Towage Australia has done a great job for its customers, establishing itself as a leading provider of harbor towage services with a good reputation as a safe and quality-conscious operator. As we have previously stated, however, our strategy is to enhance our focus on our cornerstone dry bulk business. We are happy that, through this agreement with Smit Lamnalco, we are making good progress on our strategy while ensuring the PBTA business and its excellent team can continue to operate as a going concern under the ownership of a highly reputable towage group."

Tony Cousins, Managing Director of PB Towage Australia, added, "This is a very welcome development for all employees and clients of PB Towage Australia. Acknowledging the excellent role Pacific Basin has played in establishing a quality harbor operation over the last seven years, Smit Lamnalco now brings the specialist towage capability and coverage necessary to compete on an international scale. We look forward to continuing to develop and grow our Australian business to provide a stable, long term and sustainable towage option to the Australian ports and shipping community."

Smit Lamnalco CEO Daan Koornneef concluded, "We are excited by the acquisition of PB Towage Australia, the second largest player in the country, which will enable the expansion of our footprint into Australia. Smit Lamnalco will be active in eight ports in Australia with a total of 29 vessels offering a combination of harbor towage, terminal and FPSO-related services. PBTA and Smit Lamnalco share the same safety, quality and customer-focused values which will ensure a good fit and smooth transition. We look forward to welcoming to our group PBTA's team of experienced staff and crew, and to offering continued excellent service to PBTA's customers - current and new."