Braemar Shipping Services has offloaded half of its holding in technical services spin-off AqualisBraemar as it focuses on core shipbroking operations.
The company retained SpareBank 1 Markets as sole bookrunner to explore the disposal of up to 9.6m shares in the Oslo-listed operation, which was formed through the combination of Braemar’s spin-off with key competitor Aqualis in 2019.
The deal, completed on Thursday, netted Braemar £6m ($8.2m) at NOK 7.50 ($0.86) per share. That is below Wednesday's closing price of NOK 8.35, which was down 3.5% on the day.
The slice represents 10.37% of the company. Braemar held 20.79% previously.
The carrying value of the holding was £3.2m, equating to a profit on disposal of £2.8m.
Braemar chief executive James Gundy told TradeWinds the move was part of its refocusing on shipbroking.
The sale will reduce debt, which was £19.3m at 31 August 2020, and allow the company to look at other things, he added.
"Aqualis has been a great partner and has done a fantastic job and we're happy to hold the remaining 10%," Gundy said.
He explained he has ideas he wants to move forward in the shipbroking sector.
"Things are looking good so far this year. I've been very busy since taking the chair," Gundy added.
The experienced broker took over as chief executive on 1 January. He remains head of shipbroking division Braemar ACM.
Non-core businesses have been gradually stripped away at Braemar, which has disposed of three of the group's four technical services businesses.
The shipbroker is now taking bids for the fourth, LNG and LPG engineering specialist Wavespec.
