Philippines Shipyard Sale Open to All
All offers from potential buyers of a strategically located but debt-laden Philippine shipyard will be welcome, the trade minister said on Thursday, ruling out barring Chinese firms over national security fears.Trade Secretary Ramon Lopez said the government would not, and could not, block interested buyers of distressed shipbuilder Hanjin Philippines, which defaulted on $1.3 billion in loans, of which $900 million is owed to South Korean banks and the rest to five Philippine lenders.Hanjin, a unit of South Korea's Hanjin Heavy Industries & Construction Co Ltd, until recently employed 20,000 workers at its yard in Subic Bay, which until 1992 was home to a U.S.
DIS Sells a Tanker
The international marine transportation company d’Amico International Shipping (DIS) announced that its joint venture (JV) company DM Shipping (DMS) signed a memorandum of agreement for the sale of its product tanker vessel MT High Strength for a consideration of USD 16.4 millionThe 46,800 dwt MR tanker is , built in 2009 by Nakai Zosen Corporation, Japan. DMS is a JV with the Mitsubishi Group, in which d’Amico Tankers (Ireland) holds a 51% participation.MT High Strength will continue its current time-charter out contract with d’Amico Tankers until October 2019…
Outfitting the Modern Workboat
MetalCraft Marine’s 10 Meter Interceptor model is a formidable workboat. Defined by the sum of its myriad parts, it really can be seen that ‘the equipment makes the boat.’ This month, we ask "What's in Your workboat?"In a business where there is rarely any shortage of pretty boats, cutting edge designs and equally impressively performing workboat tonnage, it is also true that the real value to any design is cemented by the very equipment that makes it run. Typically, however, comparing apples to apples when it comes to selecting your next patrol, fire, SAR or pilot boat is almost impossible.
Engineering Woes Seen as Litmus Test for Thyssen Interim CEO
The response to troubles at Thyssenkrupp's plant engineering and shipbuilding division could determine whether interim boss Guido Kerkhoff has a realistic shot at keeping the top job, three people familiar with the matter said.Settling who will succeed Heinrich Hiesinger, who left in July over a strategy clash with leading shareholders, will help to determine whether Thyssenkrupp clings on to its conglomerate structure or seeks ways to simplify its business.The 50-year-old Kerkhoff, who served as finance chief under Hiesinger and was given the top job pending the appointment of a permanent suc
Stanford Marine in Talks About Sale of Business
Creditors of Stanford Marine Group (SMG), which has links to troubled private equity firm Abraaj, are in talks with three potential buyers, sources familiar with the matter say.Banks are overseeing control of Dubai-based SMG after it failed to meet the terms of its debt obligations due to financial stress linked to a steep fall in chartering rates, the sources said.SMG, which operates offshore supply vessels that service the oil and gas industry, is 51 percent owned by a fund managed by Abraaj.
Asia's Soaring Gas Demand Beckons New LNG Projects
Global LNG imports rose by 20 percent in 2017; new demand emerges across South, Southeast Asia. Soaring gas demand from China, India and Southeast Asia is sucking up an LNG supply glut previously expected to last for years, opening opportunity for new production from East Africa to North America that had been deemed part of the overhang. Trade flows in Eikon show global liquefied natural gas (LNG) imports have risen 40 percent since 2015, to almost 40 billion cubic metres (bcm) a month.
LNG Market Outlook by Flex LNG
The LNG shipping market tightened throughout the third quarter, and rates increased sharply in October following gradual increases since May. This was due in part to strong LNG demand from China which helped to widen the arbitrage between spot LNG import prices in Europe, U.S. and Asia. This led to increased cargoes from the Atlantic basin and an associated increase of average sailing distances. The current market dynamic is supportive for a further increase in rates during a seasonally strong period of the year.
Med Diesel Diffs at 21-month High
A closed arbitrage from other regions and refinery shutdowns have tightened the Mediterranean diesel market driving cargo premiums to ICE gasoil futures to their highest since August 2015. "It's almost impossible to find cargoes for the first half of May in the Mediterranean," one trader active in the region said. "Arbitrage from the U.S. (into the Mediterranean) is not really working, or just working on a 10-minute basis so nobody is able to fix cargoes," he added. As a result…
DONG Energy Settles Platform Dispute
DONG Energy said it has reached a settlement with Daewoo Shipbuilding & Marine Engineering and Technip over who bears responsibility for construction errors concerning an offshore platform for the idled Hejre field. The settlement clears a major hurdle for the Danish company's plans to divest its oil and gas unit to focus on its growing business of developing offshore wind farms. DONG said in a statement that the agreement will reduce the 2.5 billion Danish crowns ($367 million) of provisions it made in relation to the Hejre field ahead of its listing, which was one of the largest in the world last year. It will also have a positive impact of around 900 million crowns on operating profit in DONG's Discontinued Operations…
Korea Bank Puts 10 Hanjin Vessels Up for Sale
Korea Development Bank, the main creditor of the dissolved Hanjin Shipping Co. and state-owned entity, has put 10 Hanjin vessels up for sale in order to source back elements of its extended loans, reports Yonhap. According to the sources, potential buyers are required to submit their bids for the ships — two container ships and eight bulk carriers — by Feb. 21. Previously a South Korean court agreed to formally end Hanjin Shipping Co Ltd’s court receivership process after a two week appeal period, ending the business.
HSH Nordbank Seeks Buyer
German shipping finance provider is optimistic about the prospects of finding a potential buyer for the bank, which will begin a privatization process this year with a deadline in February 2018, says a report in Reuters. "Despite the difficult market environment, we have very good prospects of selling the bank," the report quoted Oliver Gatzke as telling Boersen Zeitung newspaper. HSH Nordbank met potential buyers in London in November ahead of the German lender's planned privatisation this year, people close to the matter told Reuters. HSH's owners - the northern German states of Schleswig-Holstein and Hamburg jointly hold 85 percent - have to privatise the bank by the end of February 2018 and have mandated Citi to organise the process, due to start in early 2017.
Maersk, DONG in Talks over $10 Bln Oil Merger
Denmark's A.P. Moller-Maersk and DONG Energy are in talks to merge their oil and gas operations in a deal that would create a business worth more than $10 billion including debt, sources familiar with the matter said. Maersk is working with Bank of America on the potential deal, while JP Morgan is assisting Dong Energy, said the people, who cautioned there is no certainty the parties would come to terms. Maersk said in September it planned to merge or spin-off its energy assets as part of a major restructuring and instead focus on its core transport and logistics businesses.
Four Bids for STX Offshore, STX France Emerge
Four parties have expressed interest in buying one or both of South Korea's STX Offshore & Shipbuilding Co Ltd and a controlling stake in STX France SA, a spokesman for the Seoul court overseeing STX Offshore's receivership said on Friday. The Seoul Central District Court spokesman declined to comment on the names of the parties. The South Korean court in October decided to allow the two units of the collapsed STX shipbuilding group to be sold either separately or together. Initial bids were due on Friday for all of STX Offshore & Shipbuilding Co Ltd and a 66.7 percent stake in STX France SA that is held by STX Europe AS. The four parties that entered non-binding bids in the sale were France's DCNS Group…
Hanjin-chartered Ships Sold, More on Block
Three bulk carriers sold charter-free at about market rates. Two Hanjin container ships also up for sale. Three ships chartered to Hanjin Shipping Co Ltd have been sold and two more vessels are up for sale, ship brokers said on Wednesday, kicking off an asset sale sparked by the failure of the world's seventh largest container shipper. Around $14 billion of cargo has been tied up globally as ports, tugboat operators and cargo handling firms worried about not being paid refuse to work for Hanjin, which filed for receivership in a Seoul court on Aug 31.
Damen, Fincantieri Potential STX France Buyers
Dutch group Damen shipyards and Italian group Fincantieri are the two potential buyers that have emerged for STX France, a shipyard subsidiary of the struggling South Korean group STX Corp, French daily Le Monde said on Thursday. "Two foreign candidates, Italy's Fincantieri and Holland's Damen are fighting over the last big French company of the (shipyard) sector," Le Monde said, citing several sources. On Wednesday a French finance ministry source said two potential buyers had emerged for STX France.
Two Buyers Eye Struggling STX France Shipyard
Two potential buyers have emerged for STX France, a shipyard subsidiary of the struggling South Korean group STX Corp, according to a French finance ministry source. The French state holds a 33 percent minority stake in STX France, which runs a naval shipyards in Saint Nazaire on the west coast. Lossmaking STX Corp is in administration. A French finance ministry source said a South Korean court was poised to clear a decision to liquidiate STX Corp's assets on Friday this week, a move that could clear the way for the sale of its assets.
Baltic Exchange Mulls Sale
Baltic says holding discussions with several parties. The Baltic Exchange confirmed on Friday it had received a number of "exploratory approaches" after the Singapore Exchange Ltd revealed it was seeking to buy the business which has been the hub of the global shipping market for centuries. Reuters exclusively reported on Thursday that the Baltic Exchange had held talks with SGX and other potential buyers, months after sources had said the London Metals Exchange (LME) made an approach to buy it. "The Baltic Exchange confirms that it has received a number of exploratory approaches and that it is now in confidential discussions with selected third parties regarding its future strategy and ownership," it said in a statement.
Port of Melbourne Sale Soon
The Opposition Leader Matthew Guy says that critical laws to maximise the value of the lease of the Port of Melbourne are set to finally pass the state parliament this week, reports The Age. The Coalition has used their numbers in the upper house to force a series of amendments to the governments proposed legislation to sell the port. Governments have been considering incentives to tempt the highest possible price from potential buyers of assets, including non-compete clauses that prevent competing infrastructure from being built in the future close to the asset being sold.
British Gov't Met Potential Buyer for Tata Steel UK
The British government opened talks on Tuesday with potential buyers for Tata Steel's UK operations, including Sanjeev Gupta's commodities company Liberty Group, as it stepped up its battle to find a buyer for the loss-making business. Accused by opposition lawmakers of being "asleep at the wheel" when India's Tata Steel put its entire British operations up for sale last week, Prime Minister David Cameron also met ministers to discuss the options for a business which employs 15,000 people. Britain's business minister Sajid Javid met with Gupta in London to establish how firm his interest was in the business. He was later due to fly to Mumbai to meet Tata Chairman Cyrus Mistry to agree the process for a sale.
Baltic Exchange Says Talks Ongoing with Potential Buyers
Talks between the Baltic Exchange and a number of suitors are continuing, but any potential buyer of the business will have to provide assurances that its central role in shipping will not be "undermined", the Baltic's chairman said on Wednesday. On Feb. 26 the privately held Baltic Exchange confirmed it had received a number of "exploratory approaches" after the Singapore Exchange Ltd (SGX) said it was seeking to buy the business. Both statements came a day after Reuters reported the Baltic had held talks with SGX and other potential buyers including CME Group, ICE and Platts. Sources had estimated the Baltic's valuation was $120 million.
RBS Looks to Sell Turkish Loans in Bid to Exit Shipping
Royal Bank of Scotland has put its portfolio of Turkish shipping loans up for sale, in the latest move by the state-backed bank to exit this troubled sector and cut overall losses through asset sales, two sources told Reuters. RBS, which has not made an annual profit since 2007, is restructuring under chief executive Ross McEwan and is looking to offload its entire shipping loans business to shore up its capital and avoid more losses on distressed debt. The sources, who declined to be identified, told Reuters the bank was looking to sell between $200 million to $500 million worth of Turkish-related shipping loans. RBS, which reported 2.05 billion pounds ($2.66 billion) of losses for the first half of 2016, declined to comment.
Elandra Yachts Expands Gold Coast Operations
Australia’s newest luxury motor yacht brand Elandra Yachts has expanded its Gold Coast operations on the back of rapid growth and increased interest from Australian and international buyers. The high-end marine vessel manufacturer has acquired a further 1,000 square metres of floor space at its Arundel base, in line with Elandra’s projected growth and entry into the crucial US market. Since its launch last year, Elandra Yachts has made waves in the domestic and overseas markets…
Advent Hires Banks to Sell Control of Brazil Port
Buyout firm Advent International Corp has hired Morgan Stanley & Co and Grupo BTG Pactual SA to advise on the sale of a controlling stake in TCP Terminal de Contêineres de Paranaguá SA, Brazil's second-busiest container port, according to two people with direct knowledge of the plans. Earlier this year, Boston-based Advent had announced plans to sell the 50 percent stake it has in TCP, which can handle about 1.5 million tonnes of cargo containers annually. BTG Pactual joined Morgan Stanley as advisor to Advent at the start of July, the people said. The sources, who spoke with Reuters in recent days, asked for anonymity because the plan remained confidential.