Thoresen Thai Agencies sells stake at shipping agency subsidiary

2016-07-15

Thoresen Thai Agencies sells stake at shipping agency subsidiary

Thoresen Thai Agencies Plc. (“TTA”) hereby confirms the disposition of our investment in Thoresen Shipping and Logistics Ltd. (“TSL”), as part of an ongoing strategic review of our different businesses and subsidiaries. Details are as follows:

1. Date of Transaction:

13 July 2016

2. The Parties Involved:

Buyer: Naxco Shipping and Logistics (Thailand) Ltd. (“Naxco”) Holding 2% stake in TSL and is an associate of Naxco Asia Pte. Ltd. which hold 49% stake in TSL

Seller: TTA

Relationship between Buyer and Seller: None

3. General Characteristics of the Transaction:

– Type of Securities : Ordinary Shares

– Name of Associate Company : TSL

– Type of Business : Ship Agency

– Number of Shares Sold : 245,000 (Two Hundred Forty Five Thousand) shares, each with a par value of Baht 100 (One Hundred)

– Selling Price in total : Baht 28,000,000 (Twenty Eight Million)

– Ownership in TSL by TTA

– Before disposition : 49.00%

– After disposition : 0.00%

4. Total Value of Shares Sale and Terms of Payment:

The total amount received from the sale of shares in TSL is Baht 28,000,000 (Baht Twenty Eight Million) for 245,000 shares. The payment was made in full on 13 July 2016.

5. Value of Disposed Assets:

TSL has a registered and paid-up share capital of Baht 50,000,000 (Fifty Million) divided into 500,000 (Five Hundred Thousand) ordinary shares with a par value of Baht 100 per share.

6. Basis Used to Determine the Value of Consideration:

The value of consideration is calculated from TSL’s net book value plus potential future earnings. TTA believes that the offer for TSL shares is fair and represents a good return on our investment.

7. Rationale of the Disposition:

TSL was established on 18 September 2000 as a ship agency in Thailand.

Ship agency provides port clearance, berthing, loading and discharging, cargo booking, supplying fuel, water, stores, vessel repairs and crew changes.

The disposition of stake in TSL is in line with TTA’s strategy to restructure and strengthen the shipping business.

8. Utilisation of the Proceeds from the Disposition:

For working capital of TTA.

9. Size of the Transaction:

The transaction equals to 0.09% of the net tangible assets of TTA and its subsidiaries after deducting the minority interests as of 31 March 2016 (the net tangible assets of TTA and its subsidiaries after deducting the minority interests as of 31 March 2016 amounted to Baht 21,013,138,230). When this transaction is included with other asset disposition transactions in the past six months, it is not subject to the Rules, Procedures and Disclosure of Information of the Stock Exchange of Thailand regarding the Connected Transactions or the Acquisition and Disposition of Assets of Listed Companies.

Source from : International Shipping News

HEADLINES