Alafouzos orders suezmax pair, grants options to Okeanis Eco Tankers

Okeanis Eco Tankers, the Oslo-listed Alafouzos family tanker vehicle, has been granted an option by chairman and CEO Ioannis Alafouzos to acquire two suezmax newbuildings.

The vessels have been ordered by Alafouzos at Hyundai Heavy Industries for delivery in the third quarter of 2020.

The option has been given to Okeanis at no cost, and can be exercised any time through to November 1.

Should the company not take up the option, the vessels will still be commercially managed for a fee of $600 per day.

Alafouzos commented: “After careful evaluation of the opportunity, its entailed capital requirements and impact on the Company’s forecasted per-share financial metrics relative to the Company’s current potential, the Board decided to forego the opportunity to grow the Company. The Board is of the unanimous view that the Company’s fleet is already well-positioned — in terms of size, composition, age and growing spot market exposure –- to capitalize on the strengthening tanker market, and that further growth is thus not warranted at this time.

“Nonetheless, as the Sponsor of the Company, I have granted the Company the Option to acquire these vessels from my private vehicle at the price I contracted them, further enhancing the Company’s already considerable exposure to rising tanker asset value upside at no cost. The main drivers of the decision by the Company to exercise or not exercise the Option will be the prevailing market conditions, asset values and the Company’s cost of capital (of which the share price discount or premium to Net Asset Value is a key metric) at the relevant time.”

Okeanis Eco Tankers currently owns 15 scrubber-fitted tankers within the VLCC, suezmax and aframax segments.

Grant Rowles

Grant spent nine years at Informa Group based in London, Sydney, Hong Kong and Singapore. He gained strong management experience in publishing, conferences and awards schemes in the shipping and legal areas, working on a number of titles including Lloyd's List. In 2009 Grant joined Seatrade responsible for the commercial development of Seatrade’s Asia products. In 2012, with Sam Chambers, he co-founded Asia Shipping Media.
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