ATHENS - Capital Product (NASDAQ:CPLP) Partners L.P. (NASDAQ: CPLP), an international shipping company, has entered into an agreement to sell three container vessels as it shifts its focus towards the LNG carrier market. The vessels, M/V Athos, M/V Aristomenis, and M/V Athenian, each with a capacity of 10,000 TEU and built in 2011, are expected to be delivered to their new owner in April 2024.
This move comes after the company's announcement on November 13, 2023, of its strategic pivot towards LNG carriers and energy transition shipping. As part of this shift, Capital Product Partners has been divesting from its non-core container vessels. Following the sale of the M/V Akadimos on March 8, 2024, the company has now completed the sale of two container vessels and has agreements in place to sell two more Panamax and three Neo-Panamax container vessels.
The total gross cash proceeds from the sale of these seven vessels are estimated to be approximately $272.5 million. After repaying the outstanding debt, the net proceeds are expected to be around $182.5 million.
Capital Product Partners currently owns 22 high-specification vessels, including nine LNG carriers, 11 Neo-Panamax container vessels, and two Panamax container vessels. The divestment of the container vessels is part of a broader strategy that includes the acquisition of nine additional latest-generation LNG carriers, which are scheduled for delivery between the second quarter of 2024 and the first quarter of 2027.
The company's strategic realignment towards LNG carriers reflects its focus on sectors of the shipping market that are poised for growth, particularly in the context of the global energy transition.
The information in this article is based on a press release statement from Capital Product Partners L.P.
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