Ocean Yield ASA: Acquisition of Two Dry Bulk Vessels with Long-term Charter

STOCKHOLM, Oct. 15, 2019 /PRNewswire/ -- Ocean Yield ASA ("Ocean Yield" or the "Company") is pleased to announce that the Company has agreed to acquire two newcastlemax dry bulk newbuildings with 13-year bareboat charter to companies owned and guaranteed by 2020 Bulkers Ltd. ("2020 Bulkers"). The total purchase price is USD 84 million net of pre-paid charter hire.

The vessels are expected to be delivered in October and November 2019. 2020 Bulkers will have certain options to either sell or acquire the vessels during the charter period, as well as a purchase obligation at the end of the charter.

2020 Bulkers has two vessels in operation and six Newcastlemax dry bulk vessels under construction at New Times Shipyard in China. All vessels are expected to be delivered by May 2020 and will be fitted with exhaust scrubber systems. The company is listed on Oslo Axess with ticker "2020".

Ocean Yield's Chief Executive Officer Lars Solbakken said in a comment: "We are pleased to acquire two scrubber-fitted newcastlemax dry bulk newbuildings with long-term charter to 2020 Bulkers, which increases our fleet to 65 vessels. The investment offers a very attractive risk reward for Ocean Yield."

CONTACT:

Company contact:

Eirik Eide (CFO), Tel +47-24-13-01-91

Investor Relations contact:

Marius Magelie (SVP Finance & Investor Relations), Tel +47-920-27-419

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SOURCE Ocean Yield