Singapore’s First Ship Lease Trust is proposing a preferential offering of around 965m new units to raise gross proceeds of up to S$43.03m ($31.3m).
The company intends to use 50%-100% of the net proceeds for fleet renewal which includes the acquisition of new and more recently built vessels, and any balance will be used for working capital and general corporate purposes.
The offering is still subject to approvals by unit holders.
FSL Trust currently operates a fleet of 19 vessels, made up of three containerships and 16 tankers. The average age of the fleet is 11 years.