The National Shipping Company of Saudi Arabia (Bahri) announced today it has finalised a purchase agreement with Evangelos Marinakis-backed Capital Maritime and Trading, to acquire nine very large crude carriers (VLCCs) for a total of US$1Bn.
Most of the VLCCs were built in South Korea and have an average age of 5.9 years. These vessels are fitted with scrubbers and equipped with advanced energy efficiency and low-emissions technologies to minimise environmental impact. Each VLCC has an average deadweight tonnage of approximately 311,500.
The Greek shipowner has agreed to deliver the VLCCs to Bahri in multiple batches by the end of Q1 2025. Under the payment terms, Bahri will pay 10% of the total transaction value upon signing the purchase agreement, with the remaining 90% due upon delivery of the vessels. The acquisition will be financed through a combination of banking facilities and internally generated funds.
"This transaction will significantly advance Bahri’s fleet modernisation plans, reinforcing its position among the leading VLCC owners globally," the Saudi national shipping carrier states. Bahri adds the acquisition aims to streamline the process of phasing out older vessels in its fleet, which currently consist of 40 VLCCs.
Bahri anticipates benefiting from higher earnings and reduced operating expenses due to the "cost-efficient" nature of these new VLCCs.
Capital’s commitment to the tanker market
Commenting on the sale transaction, Capital Product Partners chief executive Jerry Kalogiratossaid that the Group sold nine of its most modern and energy-efficient VLCCs. “Each of these vessels was ordered by Capital to the highest specifications, with some having been traded since delivery to Bahri, one of the most reputable names in the oil industry and one of the largest VLCC owners in the world,” he adds.
Kalogiratos highlights that Capital remains committed to the tanker market. This commitment is reflected in its current fleet and its vessels on order, comprising a total of 31 tankers, ranging from VLCCs to MR tankers.
According to its website, Capital Maritime operates 11 VLCCs built between 2010 and 2022, with an additional six LNG dual-fuel vessels currently under construction at the Chinese shipyard Dalian Shipbuilding Industry Co.
Source: Riviera
