Avance Gas Holding Ltd: Avance Gas agrees $66 million sale of 2008-built Venus Glory at estimated $27 million profit
03 Gennaio 2024 - 7:01AM
Avance Gas Holding Ltd: Avance Gas agrees $66 million sale of
2008-built Venus Glory at estimated $27 million profit
Hamilton, Bermuda.
January 3, 2024
Avance Gas Holding Ltd. («Avance Gas» or
«Company») (OSE: AGAS) is today pleased to announce that it has
entered into an agreement to sell the Very Large Gas Carrier
(VLGC), Venus Glory, built 2008, for a gross cash consideration of
$66 million. The vessel is currently trading spot after completing
her two-year Time Charter Party (TCP) with IOC at the end of fourth
quarter 2023. Delivery of the ship to new owners, a National Oil
Company, is expected to take place in February or March 2024. The
$66 million sale price is less broker commission of one
percent.
Hence, the Company expect to record a book gain
of approximately $27 million once the transaction is carried out.
The net cash proceed after deducting repayment of bank loan is
expected to be approximately $40 million. The parties have signed
and executed a Memorandum of Agreement in relation to the
sale of the ships. The sale is therefore only subject to
certain closing conditions, in line with industry standards.
Øystein Kalleklev, CEO of Avance Gas,
commented:«We are pleased to complete our fleet renewal program
with the agreement to sell Venus Glory which we have marketed for
sale after completion of her two-year time charter. With the sale
of Venus Glory, we have during the last two years, sold all our
five 2008 and 2009 built ships. At the same time, we have taken
delivery of four new dual fuel VLGCs as well as contracted four
dual fuel MGCs which also can carry ammonia in addition to LPG for
delivery in 2025 and 2026.
In the first quarter of 2024, Avance Gas is
expected to book profits of approximately $85 million from the sale
of the three ships Iris Glory, Venus Glory and the fifth dual fuel
VLGC newbuilding which was intended to be named Avance Castor. In
the second quarter we expect to book a gain of approximately $36
million from the sale of the sixth dual fuel VLGC newbuilding which
was intended to be named Avance Pollux. In total, we will thus book
gains from sale of ships of approximately $121 million in the first
and second quarter. The net cash proceeds from these sales are
expected to be approximately $185 million, or $225 million when
taking into account the swap of the $135 million sale-and-leaseback
financing for the fifth and sixth dual fuel VLGC newbuilding to
Avance Polaris and Avance Capella.
With these ship sales and the positive outlook
for the VLGC freight market, Avance Gas remain in a very good
position to continue to deliver strong returns and attractive
dividends to its shareholders.”
For further queries, please contact:
Media contact:Øystein Kalleklev, CEOTel: +47 23
11 40 00
Investor and Analyst contact:Randi Navdal
Bekkelund, CFOTel: +47 23 11 40 00
ABOUT AVANCE GASAvance Gas operates in the
global market for transportation of liquefied petroleum gas
(LPG). The Company is one of the world's leading owners
and operators of very large gas carriers (VLGCs) and owns
twenty LPG ships consisting of fourteen VLGCs on water today, the
two dual fuel LPG VLGCs for delivery and resale in 2024 and
four dual fuel MGCs for delivery in 2025 and 2026. For more
information about Avance Gas, please visit www.avancegas.com
This information is subject to the disclosure requirements
pursuant to Section 5-12 the Norwegian Securities Trading Act
Grafico Azioni Avance Gas (TG:A07)
Storico
Da Nov 2024 a Dic 2024
Grafico Azioni Avance Gas (TG:A07)
Storico
Da Dic 2023 a Dic 2024