LNG carrier owner Flex LNG has entered into a sale-charterback transaction with South Korean logistics company Hyundai Glovis for two large LNG carriers.<\/p>\n\n\n\n
The vessels in question are the 2018-built Flex Endeavour and Flex Enterprise. Both units were built by South Korea\u2019s Daewoo Shipbuilding and Marine Engineering.<\/p>\n\n\n\n
Under the agreement, Flex LNG will sell the vessels for a gross consideration of USD 420 million, with a net consideration of USD 300 million adjusted for a non-amortizing and non-interest bearing seller\u2019s credit of USD 120 million in total.<\/p>\n\n\n\n
The transaction with Hyundai Glovis remains subject to customary closing conditions and is expected to close in the third quarter of 2019.<\/p>\n\n\n\n
The 173,400 cbm Flex Endeavour and Flex Enterprise will be chartered back on a time-charter basis to subsidiaries of Flex LNG for a period of ten years.<\/p>\n\n\n\n
The company will have options to acquire the vessels during the term of the time-charters. Additionally, Flex LNG will have the right to acquire the vessels at the end of the ten-year charter period.<\/p>\n\n\n\n
The company also disclosed that the USD 250 million bank facility agreement for newbuilding duo Flex Constellation and Flex Courageous was officially signed.<\/p>\n\n\n\n
\u201cWe are pleased to announce a partnership with Hyundai Glovis, a top-tier global logistics and distribution company,\u201d.<\/p>\n\n\n\n
\u201cThe transaction secures us long-term financing at attractive terms and will significantly boost our cash position by more than USD 100 million,\u201d \u00d8ystein M. Kalleklev, Chief Executive Officer, commented.<\/p>\n\n\n\n
\u201cWith the two financings we are very well capitalized to take delivery of our remaining newbuildings. Cash break-even levels of less than USD 50,000 on average for these two financings demonstrate our ability to raise competitive and long-term financing from a diverse set of funding sources.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"
LNG carrier owner Flex LNG has entered into a sale-charterback transaction with South Korean logistics company Hyundai Glovis for two large LNG carriers. The vessels in question are the 2018-built Flex Endeavour and Flex Enterprise. Both units were built by South Korea\u2019s Daewoo Shipbuilding and Marine Engineering. Under the agreement, Flex LNG will sell the …<\/p>\n","protected":false},"author":1,"featured_media":1664,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[64,20],"tags":[84],"class_list":["post-1663","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-maritime-news","category-news","tag-lng-slump"],"_links":{"self":[{"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/posts\/1663","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/comments?post=1663"}],"version-history":[{"count":0,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/posts\/1663\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/media\/1664"}],"wp:attachment":[{"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/media?parent=1663"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/categories?post=1663"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/tags?post=1663"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}