Norwegian shipowner Color Group is taking full control of one of its high-speed ferries with a view to decarbonisation retrofitting.
The ropax specialist has agreed a deal with parent company ON Sunde to buy 61.4% of the shares in ONS Ship Finance for NOK 400m ($38m).
Color Group, through ferry subsidiary Color Line, already had 38.6% of the company and will now have 100%.
ONS Ship Finance owns the 34,200-gt ferry SuperSpeed 2 (built 2008), which is chartered to Color Line Transport on bareboat terms.
The deal lasts until July 2033, with options to purchase the ship in 2028 and 2033.
“The purchase price has been agreed on the basis of an independent valuation and will be settled by set-off against intercompany balances between Color Group and ON Sunde,” Color Group said.
“As the group expect to make investments in the vessel related to energy efficiency and climate optimisation in the coming years, Color Group deems it beneficial to acquire the remaining shares in ONS Ship Finance and become the sole owner of the vessel.”
The transaction will have no cash effect. But it is expected to result in a net positive profit for Color Group, the company said in an Oslo Stock Exchange filing.
This includes an expected positive effect on equity of NOK 150m.
Net-interest bearing debt will increase by NOK 390m, however.
ON Sunde was founded by Olav Nils Sunde, who chairs Color Line.
