Concordia Maritime has sold a post-panamax product tanker in a move aimed at improving its financial position.
The Swedish tanker owner said the sale of the 65,200-dwt Stena Perros (built 2007) is expected to have a positive liquidity effect of about $1.4m.
Concordia said the ice-classed tanker had gone to an oil company with operations in Africa. It will be handed over to its new owner at the end of January.
While Concordia did not disclose the price, it said it was below the vessel’s book value and previous valuation.
"The price has been affected by the vessel being sold in an undocked condition and by a continuing low spot market," the company said in an exchange filing.
On Monday, VesselsValue pegged a $10.3m spotlight price tag on the ice-classed Stena Perros, on which MSI Horizon attributed a fair market value of $12.4m for the current quarter.
The Stena Perros is due to have its scheduled five-year special survey in the fourth quarter of 2022.
Concordia said the proceeds of the sale will be used for accelerated amortisation of bank debt, which in turn will improve the long-term prospects of the company.
Concordia Maritime chief executive Erik Lewenhaupt said: "Despite existing charter agreements, the continued weak tanker market poses challenges for Concordia Maritime. The sale of [the] Stena Perros is aimed at improving the company's financial position and is in line with the bank agreement signed in autumn 2021.
"Further sales cannot be ruled out in the future unless we see a rapid recovery in the tanker transport market."
Concordia carried out a vital refinancing in October 2021 that it claimed gave it financial breathing space of more than three years.
The loss-making company had been running out of money after years of poor markets.
The refinancing deal was part of a rescue package put together with majority shareholder Stena Sessan and some of its banks.
Stena stepped in to charter all of Concordia's 10 tankers for five years.
Lewenhaupt, previously Stena Line's head of sustainability, took the helm at Concordia following the retirement of Kim Ullman at the end of 2021.
