d’Amico International Shipping S.A. (Borsa Italiana: DIS), an international marine transportation company operating in the product tanker market, announces that GLENDA International Shipping d.a.c.(GIS), a joint venture company with the Glencore Group, in which d’Amico Tankers d.a.c. (Ireland) (d’Amico Tankers) holds a 50% participation, signed a memorandum of agreement for the sale of MT GLENDA Megan, a 47,147 dwt MR product tanker vessel, built in 2009 by Hyundai Mipo, South Korea, for a consideration of US$ 19.0 million.
This transaction allows GLENDA International Shipping to generate around US$ 8.1 million in cash, net of commissions and the reimbursement of the Vessel’s existing loan.
As of today, DIS’ fleet comprises 49.5 double-hulled product tankers (MR, Handysize and LR1, of which 23 owned, 17.5 chartered-in and 9 bareboat chartered-in. DIS has also 1 vessel in commercial management) with an average age of about 6.4 years for its owned and bareboat chartered-in vessels. Currently, d’Amico Tankers has also a shipbuilding contract with Hyundai Mipo Dockyard Co. Ltd., for the construction of an LR1 (Long Range) product tanker expected to be delivered in Q3 2019.
Paolo d’Amico, Chairman and Chief Executive Officer of d’Amico International Shipping, stated: “I am pleased to announce that GLENDA International Shipping, our 50/50 JV with the Glencore Group, will sell one of its six vessels, generating a positive net cash effect of about US$ 8.1 million for this Company. The sale of this 2009-built ship is coherent with DIS’ long-term strategy of operating a very young, and flexible fleet, which is also efficient and environmentally friendly. Following this transaction eco vessels on the water or on order represent 65% of our owned and bareboat fleet, positioning us favorably to benefit from the upcoming market recovery, driven also by the IMO 2020 effects. In addition, this transaction will strengthen our balance sheet and liquidity position.”