Jinhui Shipping and Transportation sells Supramax vessel

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The Board of Jinhui Shipping and Transportation Limited announced that a wholly-owned subsidiary of the company entered into a memorandum of agreement on 8 March 2022 for the disposal of a Supramax at a consideration of $13.9 million.

The vessel will be delivered to the purchaser or its nominee between 15 March 2022 and 8 April 2022.

The Directors of Jinhui Shipping and Transportation continuously review the prevailing market conditions of the shipping industry and monitor and adjust the Group’s fleet profile as appropriate.

Directors believe that the disposal will enable the Group to enhance its working capital position and further strengthen its liquidity, and optimize the fleet profile through this ongoing management of asset portfolio.

The principal activity of the company is investment holding and the principal activities of its subsidiaries are international ship chartering and ship owning. The vendor is a ship owning company and a wholly-owned subsidiary of Jinhui Shipping and Transportation Limited.

The purchaser is a company incorporated in Hong Kong and its principal activities are shipping operations and ship chartering.

The vessel is a Supramax of deadweight 53,806 metric tons, built in year 2004 and registered in Hong Kong.

The vessel has been owned by the Group since March 2021, and its unaudited net book value as at 31 January 2022 was approximately $7.682 million.

The unaudited net profit both before and after taxation and extraordinary items attributable to the vendor for the financial year ended 31 December 2021 was approximately $2.544 million.