Italy’s d’Amico International Shipping subsidiary d’Amico Tankers has agreed a sale and leaseback deal for 2014-built MR tanker High Voyager.
D’Amico has sold the Hyundai Mipo-built vessel for $25.7m and is bareboat chartered it back for a period of ten years. The sale will see the company generate around $9.6m in cash after the vessel’s existing debt is paid.
Upon completion of there charter, d’Amico has a purchase obligation attached to the charter which also includes options to buy back the vessel from there end of the third year.
Paolo d’Amico, chairman of d’Amico International Shipping, commented: “I am glad to announce the conclusion of this further deal with a reputable Japanese counterparty, which will generate net cash proceeds of approximately US$ 9.6 million for DIS, after the repayment of the existing bank loan and commissions. In line with other similar deals we have closed in the past, this transaction will allow us to keep full control of this modern MR vessel through a 10-year bareboat charter contract. Furthermore, we have very flexible purchase options, which allow us to buy the vessel back with three months’ notice starting from the third anniversary of the deal, at a competitive cost of funds.”
D’Amico completed several sale and leaseback transactions in 2018 and in January picked up where it left off, sealing a deal for newbuild LR1 tanker Cielo di Houston. The company has stated previously that funds generated will be used for its fleet renewal programme.