Aspo Plc
Press release
March 18, 2024 at 15:45
Aspo's subsidiary ESL Shipping to sell its Supramax vessels
Aspo Group's subsidiary ESL Shipping has signed a memorandum of understanding
according to which it will sell its two Supramax class vessels to companies
belonging to HGF Denizcilik Limited Sirket group, a Turkish shipping and
logistics company. The sale of the vessels is part of Aspo's program announced
in April 2023 (https://www.aspo.com/stock-releases/inside-information-aspo-has-
initiated-a-program-to-accelerate-its-subsidiary-esl-shippings-green-
transformation) to support and accelerate ESL Shipping's low-carbon growth
strategy.
The delivery of the vessels is expected to take place in April-May 2024. The
sales price is USD 37.1 million and it is paid fully in cash. Considering the
carrying amount of the vessels and the cost to sell, the sales loss is expected
to be approximately EUR 7 million.
Following the sale of the Supramax vessels, ESL Shipping will continue to focus
on Handysize and Coaster vessels and further developing its partnership strategy
with current and future customer base. In 2023, the operating profit of the
Supramax vessels was EUR 1.6 (2022: 5.7) million.
"The sale of the two Supramax vessels is well aligned with ESL Shipping's low-
carbon strategy. It also stabilizes ESL Shipping's profit generation and frees
up capital for Aspo's and ESL Shipping's future strategic growth efforts," says
Rolf Jansson, CEO of Aspo Group and Chairman of the Board of ESL Shipping.
The two 1A ice strengthened Supramax vessels of 56,000 dwt were originally
received in 2012. The length of the vessels is 197 meters and maximum draft with
a full cargo is 13.0 meters. Both m/s Arkadia and m/s Kumpula have sailed under
the Finnish flag.
"As the traditional markets for our Supramax vessels on the Baltic Sea and the
Arctic have changed significantly, now is the right time to sell these vessels.
The sale will support our roadmap towards green shipping and our ambition to
bring fossil-free handysize vessels to the market. The sale enables us to
allocate even more resources to accelerate the green transition," says Mikki
Koskinen, Managing Director of ESL Shipping.
Where possible, the crews of the Supramax vessels will be re-employed in ESL
Shipping's remaining vessels.
Aspo Plc
Rolf Jansson
CEO
Further information, please contact:
Rolf Jansson, CEO, Aspo Plc, tel.?+358 400 600?264, rolf.jansson@aspo.com
(mailto:rolf.jansson@aspo.com)
Mikki Koskinen, Managing Director of ESL Shipping,
mikki.koskinen@eslshipping.com (mailto:mikki.koskinen@eslshipping.com)
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