BW Epic Kosan has reached an agreement with Odfjell Gas Shipowning to acquire two 9,000 cu m ethylene carriers, Bow Guardian and Bow Gallant, for cash and around 6,89m shares, or 4.3% of the company.
“The deal concludes Odfjell’s exit from the gas segment and the shareholding in BW Epic Kosan will be considered as a non-strategic financial investment,” Odfjell said on Monday.
The 2008-built vessels can carry gases such as LPG, propylene, ammonia, and ethylene, and will join BW Epic Kosan’s 14 other similar controlled vessels of 8,000-10,000 cu m, including three sister vessels from the same shipyard.
The transaction is expected to complete before October 31, 2021. Post-completion of the share issue, BW group will remain the largest shareholder of the company with 56%. Odfjell Gas Shipowning is entitled to additional consideration in the form of up to 362,611 shares in BW Epic Kosan subject to certain conditions being fulfilled during 18 months from delivery of the vessels.
BW Epic Kosan controls a fleet of 76 vessels and, as of today, the combined carrying capacity of its fleet is 546,121 cu m with an average age of 11 years.