Navig8 Product Tankers, a joint venture between the Navig8 Group and DVB Bank, has entered into sale and leaseback agreements with CMB Financial Leasing for two 74,000 dwt LR1 product tankers being built at Korean shipbuilder SPP Shipbuilding.
The two vessels from SPP have contractual delivery dates of end May and end June 2016.
Under the sale and leaseback agreements, CMBFL will provide funding for pre-delivery as well as the delivery installments for the vessels. The net proceeds from the transaction (after a 20% sellers’ credit) will be USD 76.8 million, the company said.
In addition, the company has entered into 7-year bareboat charters for the vessels, commencing upon their respective deliveries. Navig8 Product Tankers has purchase options to re-acquire tankers during the charter period, with the first such option exercisable on the third anniversary of each ship delivery.
Navig8 Product Tankers maintains an orderbook of long-range (LR), eco-design product tankers, comprising 15 LR2 and 12 LR1 vessels.