Mercator Lines to sell three panamax bulkers to service debt

Mercator Lines to sell three panamax bulkers to service debt

Mercator Lines (Singapore) has signed three memoranda of agreement to sell three of its panamax bulk carriers to one of its lenders for a combined $14.8m.

The Singapore-listed owner says it has received a notice of enforcement from the unnamed lender, who is the mortgagee of the vessels to be sold. The bulkers are: Kesari Prem (69,200 dwt, built 1997), Gauri Prem (74,500 dwt, built 2007) and Sri Prem Aparna (73,500 dwt, built 2001).

The sale was negotiated on an arms-length basis at market value, and will consequently reduce the debt owed to the lender by $14.8m, said Shalabh Mittal, Mercator’s managing director and CEO, in a filing today.

The ships are expected to be delivered to their buyers this month and in January 2016.

Holly Birkett

Holly is Splash's Online Editor and correspondent for the UK and Mediterranean. She has been a maritime journalist since 2010, and has written for and edited several trade publications. She is currently studying for membership of the Institute of Chartered Shipbrokers. In 2013, Holly won the Seahorse Club's Social Media Journalist of the Year award. She is currently based in London.

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1 Comment

  1. Roger Symes
    December 23, 2015 at 7:04 pm

    I note that another ship in the same fleet, Chitra Prem, has arrived at Cape Town, a port favoured by creditors. On 25-Nov-2015, owners advised that her mortgagees, Malayan Banking Berhad, had given notice that it had taken steps to enforce its security over the vessel.