The judicial manager of Mercator Lines (Singapore) Limited (MLS) has announced that it has entered into five separate memoranda of agreement for the sale of five of its bulk carrier vessels.

Singapore's Mercator Lines Sells 5 Bulkers

Bulk carrier Garima Prem Image by: Hans Fairhurst

The sale of the vessels, which will be delivered to their buyers in February, is said to be expected to generate $32,262,500 in net proceeds, all of which will go toward paying down the company's outstanding debt.

The agreements are said to cover the sale of the vessels M.V. Sri Prem Veena, M.V. Garima Prem, M.V. Garv Prem, M.V. Gaurav Prem, and M.V. Aarti Prem.

All of the vessels are said to have been sold at market value on an arms-length basis to related companies of the MLS lenders. It was also noted that the vessels' purchasers are unrelated to both the current and former directors and controlling shareholder of MLS.