US law firm Squire Patton Boggs (SPB) is launching a new sale & purchase (S&P) transaction-closing service with the support of London's Baltic Exchange.
SPB’s 30-strong commodities and shipping group, co-chaired by Chris Swart and Barry Stimpson, will work worldwide, underpinned by the exchange’s independent Singapore-based escrow operation.
The Baltic’s escrow service was set up in October 2018 and was intended to hold deposits for ship sale transactions.
It has also since helped with payments for dispute resolution.
SPB’s Singapore partners Kate Sherrard and Brian Gordon will form part of the team that will also cover London, the Americas, Australia and the Middle East.
Shipowners will have access to a trusted, independent and efficient means of holding and exchanging funds when purchasing and selling vessels, the two sides said.
“This will give all parties confidence that the necessary and compliant due diligence checks are performed, funds are held securely, and the exchange of funds is executed smoothly and professionally with close attention to detail,” they added.
SPB partner Brian Gordon said the idea is to provide a “one-stop shop”.
Lawyers will offer help with preliminary negotiations, inspections and vessel due diligence, as well as advising on and finalising a memorandum of agreement, preparation of documents and the closing of the transaction.
“In partnering with the Baltic Exchange, an independent and renowned provider of trusted shipping benchmarks, we are able to offer a secure, best-in-class service where we can act in the best interests of shipping clients and provide the high standard of service they deserve,” Gordon added.
Singapore-compliant
The Baltic Exchange is owned by the Singapore Exchange Group and is compliant with Monetary Authority of Singapore (MAS) anti-money laundering requirements.
“Users of the service are assured of a high quality and independent escrow support from the Baltic Exchange for their transactions.
“Secure escrow accounts are maintained with two leading AA-rated banks in Singapore,” said the exchange’s chief executive Mark Jackson.
