Japanese owner Fuyo Kaiun has sold an MR tanker to Ardmore Shipping at a price that appears satisfactory to both companies, according to sources familiar with the deal.
The Panama-flagged, 50,093-dwt Maersk Murotsu (built 2010) has fetched $16.7m and Ireland-based Ardmore is expected to receive the vessel in August.
TradeWinds understands that the product tanker had been time chartered to Maersk Tankers since it was delivered from Onomichi Dockyard as a newbuilding.
Given the recent correction in tanker asset prices, one of the sources said: “The price seems pretty good in today’s market.”
VesselsValue estimates the ship to be worth about $16m on a clean sale basis, compared with $17.6m at the beginning of the year.
Some sources said the high price tag was because the vessel recently completed its second special survey and ballast water treatment installation, whose combined costs were estimated at $2m.
In its latest quarterly report, Ardmore confirmed it acquired a Japanese-built MR with the same age and capacity for $16.7m. But the New York-listed shipowner did not disclose the vessel's name.
“This is an exceptionally attractive price for a modern ship," Ardmore chief financial officer Paul Tivnan said in an earnings call. "The price equates to [a] 27% discount to depreciated replacement value based on the newbuild price today."
According to Tivnan, the vessel is expected to generate a return on investment capital of 10% with through-the-cycle time-charter equivalent earnings of $15,000 per day.
“We like the price and the fact that it has been through second special survey and ballast water treatment installation,” Ardmore chief executive Anthony Gurnee said. “We think it should trade well and the price is great.
“The ship is a little older than [what] we would normally focus on... But we really like the fact that it's been with a high-quality owner from new.
“We have looked at newer vessels, but we thought this was the best value out there.”
The vessel will join three near-sisterships in the Ardmore fleet, namely the 47,451-dwt Ardmore Sealancer, 47,463-dwt Ardmore Sealeader and 47,472-dwt Ardmore Sealifter (all built 2008).
Osaka-based Fuyo Kaiun is believed to be a long-standing business partner to Ardmore, having acquired the 49,500-dwt Ardmore Engineer (built 2014) in a leaseback deal in late 2018.
Ardmore has continued to operate the vessel via an 11-year financial lease arrangement, attached with multiple purchase options for the lessee.
TradeWinds has approached Fuyo Kaiun for comment.
