Malaysia-listed Straits Inter Logistics Berhad (SIL), principally engaged in oil trading, bunkering and investment holding activities, on Friday (24 July) said Beluga Asia, has entered into a Memorandum of Agreement (MOA) with Sun Marine Corporation (SMC) to acquire a vessel named M.T. MA Veronica.
Beluga Asia is an investment holding company, a wholly owned subsidiary of Tumpuan Megah Development Berhad (TMD) which in turn, is a 55% owned subsidiary of SIL.
SMC is a shipping services company based in the Philippines.
The purchase consideration of the transaction is USD 2.45 million (MYR10 million) to be fulfilled entirely via cash financed through internally generated funds, it said.
The purchase consideration of USD2,450,000 was arrived at, on a willing-buyer willing-seller basis, after taking into consideration the market value of M.T. MA Veronica of USD3.5 million as ascribed by the appointed independent registered valuer, BMI Appraisals Limited using the comparison method as stated in its valuation certificate dated 18 March 2020, noted SIL.
The purchase consideration represents a discount of approximately 30.0% over the Market Value as ascribed by the independent registered valuer.
The acquisition will enable Beluga Asia to own a vessel at a discount to its Market Value for its business requirements without having the need to lease or charter from other vessel owners or operators, explained SIL.
The addition of M.T. MA Veronica will enlarge the asset base of SIL and would provide the group with the flexibility in respect of its allocation and utilization of vessels in undertaking its business activities.
Further, the vessel will be chartered to Tumpuan Megah for its business activities, which mainly caters for the demand for the trading of marine fuel oil as well as the provision of oil bunkering services of marine fuel oil.
At present, Tumpuan Megah operates in eight ports around Malaysia, which include Lumut Port, Pasir Gudang Port, Tanjung Pelepas Port, Johor Bahru Port, Kuantan Port, Kemaman Port, Kuala Terengganu Port and Labuan Port, all of which are licensed under Petroleum Development Act 1974 for its bunkering services. It has an enlarged fleet size of 11 vessels with a total carrying capacity of 22 million litres.
The details of the transaction are as follows:
|Name of Vessel||M.T. MA Veronica|
|International Maritime Organisation
|Place of Registry||Batangas|
|Year of Build||2008|
|Builder’s name||Taizhou Yuan Hang Shipyard, China|
|Deadweight Tonnage||4,711 metric tonnes|
|Gross tonnage||2,990 metric tonnes|
|Net tonnage||1,321 metric tonnes|
|Length over all / Depth / Breadth
|99.86/ 7.60/ 15.20|
|Registered owner||Sun Marine Corporation (SMC)|
|Current use||Provision of oil bunkering services|
Photo credit: Straits Inter Logistics Berhad
Published: 27 July, 2020
Sukumar Verma, Managing Director at Informa Connect Singapore, explains how the world’s largest bunkering event will be virtually carried out between 6 to 8 October 2020.
David John Kidd amassed losses of over SGD 1 million to Lukoil Asia Pacific Pte Ltd through multiple irregular trades with Transocean Oil over a four-month period in 2016.
Helmsman LLC lawyers discuss pausing of LC payment, what it means for parties buying ships from companies of a group affected by fraud allegations, and trafficking in spent bills of lading.
Listing of Brightoil’s shares on the Stock Exchange was cancelled on 16 March 2020, according to a written Judgement of Russell Coleman, a Judge of the Court of First Instance.
‘To this end, the Bank has shown there are grounds for suspecting the CIA Contract may be a sham / fake contract and/or was not performed,’ said CMB’s submission to the Singapore court.
Executive Director of Pacific Prime Trading and Ex-Regional Marine Manager of BP Singapore are expected to face sentencing in September at the State Courts of Singapore.