Navios sells two VLCCs to its midstream sister company

Athens: NYSE-listed Navios Maritime Acquisition is to sell two VLCCs to Navios Maritime Midstream Partners for a combined $100m.

The vessels are the C Dream (298,570 dwt, built 2000) and Nave Celeste (298,717 dwt, built 2003). The transaction is expected to close on June 18.

“Navios Acquisition intends to use the proceeds from the sale of these vessels for repayment of indebtedness, reinvestment in vessels and general working capital purposes,” a statement said today.

Navios Maritime Midstream Partners will pay for the vessels using $73m in cash and $27m in a new class of subordinated units that are senior to the existing subordinated units and junior to the common units.

Previous to their sale, the two VLCCs has been used to collateralise a Navios Acquisitions 8 1/8% secured bond, due 2021. The vessels will be substituted as collateral by the Nave Ariadne LR1 product tanker, the Nave Pulsar MR2 product tanker and the Bougainville MR2 product tanker, Navios said.

Last week, Navios reportedly bought two VLCCs Energy R and Power D (both 319,000 dwt, built 2003) from German carrier Nord Reederei for $43m apiece.

Navios Maritime Midstream Partners bought four VLCCs from Navios Maritime Acquisition in 2014 in an en bloc deal worth over $381m.

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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