Singapore’s First Ship Lease Trust has sealed a deal with a Chinese leasing company for the sale and leaseback of two LR2 product tankers currently under construction at Cosco Shipping Heavy Industry (Yangzhou).
FSL said that it considered various financing options, including bank financing, before deciding on the Chinese lease deal.
Once completed, FSL will receive $58.56m, which will be used to finance the remaining payments to the shipyard under the relevant shipbuilding contracts. The lease is for 10 years with a purchase obligation at the end of term.
FSL announced plans to order the two scrubber-fitted vessels in December 2018.