Japan : Japan's shipping firm NYK inks deal to acquire 25% stake in EMAS Chiyoda Subsea.
Japan's shipping firm Nippon Yusen Kabushiki Kaisha (NYK) has entered into a deal to acquire a 25 percent stake in newly established EMAS Chiyoda Subsea Ltd., which is currently a 50:50 joint venture company (JVCo) between EMAS AMC Holdings Pte Ltd. and Chiyoda Corp., said EMAS AMC's parent company Singapore-based Ezra Holdings Ltd.
EMAS AMC will be selling 10 percent stake in EMAS Chiyoda Subsea to NYK for $36 million, which will be provided as a loan to the joint venture for working capital. Chiyoda will be selling 15 percent stake in the subsea firm to NYK and contribute $11.67 million in working capital to the joint venture. New partner NYK will be offering $8.33 million in working capital for EMAS Chiyoda Subsea.
EMAS AMC, Chiyoda and NYK will own 40 percent, 35 percent and 25 percent stakes in EMAS Chiyoda Subsea, respectively once the transaction is completed.
Ezra said, "Being an international player in the logistics industry, NYK is an experienced partner in managing vessel assets and will be able to bring expertise in vessel operations and asset management to the Subsea Services Business. JVCo is able to leverage on NYKs long-standing competence in oil and gas shipping and growing experience in several offshore businesses to enhance its capabilities to win, deliver and manage large and complex projects, including large engineering, procurement, construction and installation projects. In view of the foregoing, JVCo will benefit from the broad range of capabilities from the Company, Chiyoda and NYK, and be able to consolidate its global position as a leading subsea services player.
[c] 2016 Al Bawaba (Albawaba.com) Provided by SyndiGate Media Inc. ( Syndigate.info ).
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|Date:||Jun 13, 2016|
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