Teekay Tankers sells non-US ship-to-ship transfer business

Teekay Tankers sells non-US ship-to-ship transfer business

Teekay Tankers has announced the sale of several assets worth a total of $83m as well as the closing of a new $533m refinancing.

The company has sold a portion of its oil and gas ship-to-ship transfer support services business, which also provides gas terminal management and gas consulting services, to Hili Ventures for around $26m. The sale is expected to close within the next three months.

Teekay will retain its entire full-service lightering business that operates in the US Gulf, and will continue to operate oil ship-to-ship transfer support services in North America and the Caribbean.

The company has also announced the sale of three 2003-built suezmax tankers in separate transactions for a total of $57m as already widely reported by brokers. The proceeds from the vessel sales will be used to reduce debt.

Teekay has also announced the closing of a new five-year $533m revolving credit facility to refinance 31 vessels.

The company says the asset sales and new debt facilityis expected to increase by approximately $73m.

“We are excited to announce these opportunistic asset sales for combined proceeds of approximately $83 million, which is consistent with our strategy presented at our November 2019 Investor Day and accelerates our planned balance sheet delivering efforts,” said Kevin Mackay, president and CEO of Teekay Tankers.

Grant Rowles

Grant spent nine years at Informa Group based in London, Sydney, Hong Kong and Singapore. He gained strong management experience in publishing, conferences and awards schemes in the shipping and legal areas, working on a number of titles including Lloyd's List. In 2009 Grant joined Seatrade responsible for the commercial development of Seatrade’s Asia products. In 2012, with Sam Chambers, he co-founded Asia Shipping Media.

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