Malaysia-listed Sealink International and its compatriot company Cakara Maritime today agreed to restructure and reactivate Seasten, a dormant Sealink subsidiary, as a joint venture that will own and operate an offshore supply vessel.
After the restructuring, Seasten will be 70% owned by Era Surplus and 30% by Cakara. The deal is expected to be completed by the end of October.
Sealink today transferred its equity in Seasten to Era Surplus, another of its subsidiaries. In turn, Era Surplus plans to sell its offshore supply vessel Vanessa 6 (512 dwt, built 2007) to Seasten for RM11m ($2.6m).
Seasten will be run as an owner and operator of offshore vessels, starting with Vanessa 6, for which Cakara will be appointed as marketing agent.
“Sealink has the intention to forge a long-term alliance with Cakara as Cakara is a well-established ship agent for the oil and gas activity in Malaysia. The alliance will increase the likelihood of Vanessa 6 securing long term contracts,” Sealink said in a filing to Malaysia’s Bursa Stock Exchange today.
Era Surplus plans to free up cash for Seasten by selling 30% of its interest in the joint-venture company for a total of RM2.7m ($628,000), which will be used as working capital.
Seasten’s board of directors will consist of two directors from Era Surplus and one director from Cakara.