Samudera to acquire 25% interest in LNG EW for US$14.8 million

Khairani Afifi Noordin
1-min read

The purchase consideration will be satisfied by the company’s internal resources.

Samudera Shipping Line has entered into a share purchase agreement for the purchase of 8.6 million ordinary shares of LNG East-West Shipping Company (Singapore) (LNG EW) from Nippon Yusen Kabushiki Kaisha (NYK).

Samudera is an existing shareholder of LNG EW. Upon completion of the acquisition, the company’s shareholding interest in LNG EW will increase from 25% to 50%, while NYK will own the remaining 50% shareholding interest.

The purchase consideration for the acquisition of US$14.8 million ($19.93 million) was arrived at on a willing-buyer willing-seller basis after taking into account various factors including the net assets value of the sale shares as well as the existing time charter contract that LNG EW has entered into.

In a bourse filing, Samudera says that the purchase consideration will be satisfied by the company’s internal resources.

The book value and net asset value represented by the sale shares as at Sept 30 was US$17.9 million.

The acquisition is not expected to have any material impact on the net tangible assets per share or earnings per share of the Company for the current financial year.

Shares in Samudera closed 0.5 cents higher or 0.57% up on Dec 14 at 88.5 cents.

 

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