EuropeOffshore

Prosafe to acquire newbuilds from Axis Offshore

Prosafe has entered into a letter of intent with Axis Offshore for the potential acquisition of two single purpose newbuild companies, Axis Nova Singapore and Axis Vega Singapore, and 25% of the shares in Dan Swift Singapore for $70m.

Prosafe said the transactions provides an attractive opportunity to acquire the two semi-submersible newbuilds with limited risk since the transaction is based on Axis Nova and Axis Vega coming with cancellation rights and refund guarantees of $60m.

The refund guarantee can be claimed in the event that Prosafe chooses to not take delivery of the newbuilds due to weak market conditions.

Under the transaction, Prosafe will also enter into a management contract for Axis’ accommodation vessel Dan Swift.

“The addition of the Axis Nova and Axis Vega to our fleet will reinforce our renewal and high grading program. We look forward to further enhancing our relationship with Cosco Qidong and to work with their team to find an optimal solution for the preservation, marketing and eventual delivery and financing of the vessels.  Further, a shareholding in and management of the Dan Swift will add flexibility to our offering and upside potential from the minority interest while also being in line with our ambitions of reorganizing our operating model into several strategic segments”, said Mr. Stig H. Christiansen, acting CEO of Prosafe SE.

Tags

Jason Jiang

Jason is one of the most prolific writers on the diverse China shipping & logistics industry and his access to the major maritime players with business in China has proved an invaluable source of exclusives. Having been working at Asia Shipping Media since inception, Jason is the chief correspondent of Splash and associate editor of Maritime CEO magazine. Previously he had written for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week.
Back to top button
Close
Close