FSL Trust Announces Oil/Chemical Tanker Acquisition & Long-term Bareboat Charter

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FSL Trust announced that a wholly owned subsidiary of the Trust has entered into definitive agreements to (a) purchase the vessel Anuket Amber (tbr Pelican Fisher), a c.9,600 DWT oil/chemical tanker built in 2008 for US$ 5 million, and (b) bareboat charter the Vessel to James Fisher Everard Limited for a period of 8 years from delivery.

The Charterer’s obligations under the Charter are guaranteed by James Fisher and Sons plc, a leading provider of specialist services to the marine, oil and gas and other high assurance industries worldwide, listed on the London Stock Exchange.

Delivery of the Vessel is expected to take place between September and November 2021 and the Vessel is expected to generate an aggregate adjusted EBITDA of US$ 8 million over the period of the Charter. The acquisition is expected to be funded with cash and cash equivalents of the Trust, whilst FSLTM is also considering to raise debt finance.

Commenting on transaction, Roger Woods, Chief Executive Officer, said:

“In a challenging shipping investment environment, we are very pleased to have secured this accretive transaction with James Fisher Everard, who have been a long-time customer of FSL Trust. The transaction further strengthens the strong relationship between FSL Trust and James Fisher Everard, after we had already agreed to renew the charters for 5 other vessels with James Fisher Everard earlier this year. Whilst the vessel does not feature the most advanced fuel technologies, the long-term charter of 8 years provides secure long-term cash flows to the Trust and creates value for the unitholders.”

Source: FSL Trust