KS Investments, a wholly-owned subsidiary of Singapore’s Keppel, and its partner Boskalis have reached an agreement with Italian towage operator Rimorchiatori Mediterranei to sell Keppel Smit Towage and Maju Maritime, for around $190m split 51/49 between Keppel and Boskalis respectively.
The agreement is subject to approval from the regulatory agencies in Singapore and the transaction is expected to close in the first half of 2022.
Genoa-based Rimorchiatori Mediterranei is a subsidiary of Rimorchiatori Riuniti Group. The company operates a fleet of more than 100 vessels in more than 20 major ports. Keppel Smit Towage (KST) was established in 1991 as a joint venture between Keppel and SMIT, a wholly-owned subsidiary of Boskalis. It operates a combined fleet of 58 tugboats in Singapore and through its joint venture in Malaysia.
The divestments are part of Keppel O&M’s strategic review to streamline and divest its non-core assets, in line with Keppel’s Vision 2030 plans to be more focused and disciplined as it executes its mission to provide solutions for sustainable urbanisation, the company said in a release.
For Boskalis, the sale of KST follows the strategic decision taken by the company in 2019 to divest its harbor towage activities, which before the latest deal saw divestment of Saam Smit Towage and Kotug Smit Towage.