Jacob Meldgaard, Executive director and Chief executive
Denmark´s Torm specialist carrier of refined oil products has increased its fleet size to 96 vessels, by adding eight second-hand MR tankers for $340m.
The US and Nasdaq Copenhagen-listed owner has sealed the deal on July 15 to buy the vessels that are expected to be delivered during the third and fourth quarters of 2024 for a total consideration of $340m.
The cash part of the purchase will be $238m, and the rest will be with the issuance of approximately 2.65 million shares.
According to the owner, the purchase price is subject to certain adjustments that will be impacted by Torm’s share price development and the vessels’ delivery schedules.
The vessels have all been built at the Tier 1-Korean yard Hyundai Mipo Dockyard in 2014 and 2015, and six of the vessels have been fitted with scrubbers.
The cash element of this transaction will be financed through traditional bank financing.
The tanker owner added that since the release of its first quarter 2024 results it has sold one 2006-built MR tanker set for delivery in the third quarter of 2024 for a cash consideration of $23.3m.
Jacob Meldgaard, executive director and chief executive, said: “We are pleased to once more announce a partially share-based transaction to acquire vessels. Since 2021, Torm has utilized partially share-based transactions to expand the fleet, even before the product tankers market took off.”
“This model highlights the strong trust the sellers have in our One Torm platform and their firm belief in market fundamentals,” Meldgaard added.
