d’Amico International Shipping S.A. (Borsa Italiana: DIS), an international marine transportation company operating in the product tanker market, announces that its operating subsidiary d’Amico Tankers D.A.C. (Ireland) (d’Amico Tankers) signed a memorandum of agreement for the sale of MT High Prosperity, a 48,700 dwt medium-range product tanker vessel, built in 2006 by Imabari Shipbuilding Co. Ltd. (Japan), for a consideration of US$ 14.245 million.

d’Amico International Shipping announced the sale of MR tanker High Prosperity
Caption: Oil Products Tanker High Prosperity - Image courtesy of Mmiranda Reiffers Te Loo

This transaction will generate a positive net cash effect of around US$ 6.9 million for d’Amico Tankers, contributing to the liquidity required to complete DIS’ fleet renewal program.

In addition, d’Amico Tankers will retain the commercial control of the Vessel, having also concluded with the Buyer a 6-year time-charter agreement at a competitive rate.

As of today, DIS’ fleet comprises 55.5 double-hulled product tankers(MR and Handysize)with an average age of about 7.7 years (of which 26.0 owned vessels, 26.5 chartered-in vessels and 3.0 bareboat chartered). Currently, d’Amico Tankers has also shipbuilding contracts with Hyundai Mipo Dockyard Co. Ltd., for the construction of 6 LR1s (Long Range) product tankers with expected delivery between Q4 2017 and 2018.

Marco Fiori, Chief Executive Officer of d’Amico International Shipping, stated: “The sale of MT High Prosperity is in line with DIS’ long-term strategy of maintaining a young owned fleet, through the replacement of some of our older vessels with the newbuildings we have ordered in the recent years. At the same time, this transaction will generate a positive net cash effect of approximately US$ 6.9 million, strengthening our balance sheet and liquidity position, while permitting us to retain commercial control of the vessel at a competitive time-charter rate for the next 6 years, allowing us to benefit from the expected recovery in the product tanker market".

Source: d’Amico