Seatrium has confirmed the divestment of its AmFELS yard located at Brownsville, Texas, for a consideration of SG$65 million (US$51 million).
Seatrium said the accretive divestment will allow it to enhance capital and operational efficiencies, while unlocking value from one of its surplus facilities.
The asset sale is being executed through Seatrium’s subsidiary, Seatrium AmFELS, which has entered into a binding agreement with Karpower Valley, a related party of Karpowership.
"We have a strong and longstanding relationship with Karpowership, and are pleased to entrust the yard to a partner with whom we will continue to deepen our collaboration," said Chris Ong, Chief Executive Officer of Seatrium.
Following the asset divestment, Seatrium will transition its strategic presence in the US to focus on engineering innovation and technology capabilities, through its technology centres and offices located in Houston, Texas, and service centre in Vicksburg, Mississippi to support the evolving needs of its customers.
The completion of the divestment is subject to customary closing conditions, including the transfer of the lease to the new owner by the Port of Brownsville.
