CSSC Hong Kong Shipping entered into an agreement on April 15 to sell nine heavy-lift vessels to several German entities for a total consideration of $264 million.
The company said the transaction involves the early termination of existing bareboat charters and the provision of a loan facility to the buyers.
The buyers, which are special purpose vehicles ultimately owned by Andreas Rolner's United Heavy Lift (UHL), were the previous charterers of the vessels.
Under the terms of the memorandum of agreement, the company will provide financing of up to $258.6 million to the buyers to partially settle the purchase price.
The loan carries an effective interest rate of 8.24 per cent and is scheduled to be repaid in instalments with final maturity dates between November 2, 2035, and July 22, 2036.
The company stated the arrangement is a "strategic optimisation of the existing operating leasing structure" between the two parties.
CSSC estimated that the disposal will result in a gain of $49.97 million for the company. The company said the deal allows it to, "realise the value of the operating lease vessels at a favourable point in the market cycle".
Profit attributable to the vessels reached approximately $16.6 million for the financial year ended December 31, 2025. This was an increase compared to the $13.9 million in profit recorded during the 2024 financial year.
Proceeds from the sale are intended to be used for general working capital. The nine heavy-lift vessels were originally chartered to the eventual buyers under agreements dated July 4, 2022, and September 30, 2022.