Under the deal with a Japanese ship owning company, the vessel will be chartered back on a bareboat basis for a period of 12 years, with annual purchase options from year three onwards. The company said that the senior debt funding will be provided by one of Japan’s ‘mega banks’.
Concordia Maritime said that the transaction, which is scheduled for late November, gives rise to an accounting profit of around USD 1.8 million and a positive liquidity effect of USD 22 million.
“The leaseback arrangement means that we can continue employing Stena Supreme in the successful Stena Sonangol Suezmax pool for many years to come,” Kim Ullman, CEO of Concordia Maritime, said.
Less than a month ago, the company entered a sale and leaseback agreement for the IMOIIMAX tanker Stena Image with a Japanese financial institution.
Ullman added that both of these transactions are a way of preparing the company “for a subdued market situation and good business opportunities that may arise. We are not sitting still, but are actively working on the fleet’s structure and disposition.”
With the transactions, the company said that it is taking a further step into the Japanese financing market, and added that it is “continuously evaluating the possibility of similar arrangements.”