Hellenic Carriers Unit To Sell Vessel For $23.5M

8th Jun 2010 08:27

LONDON (Dow Jones)--Hellenic Carriers Limited (HCL.LN), an international provider of marine transportation services for dry bulk cargoes, said Tuesday its wholly owned subsidiary Nestos Shipping Corp., the ship owning company of the M/V Hellenic Breeze has signed a Memorandum of Agreement, or MoA, with an unaffiliated third party domiciled in China for the sale of its vessel at a gross price of $23.46 million in cash. MAIN FACTS: -M/V Hellenic Breeze is a 69,601dwt Panamax built in 1993 at Tsuneishi Shipbuilding, Japan. -According to the terms of the MoA delivery to the new owners is expected to take place between June 20 to August 30 at Nestos' option. -Taking depreciation and amortization into account the Company expects to realize a net book gain of $8.5 million on this sale. -The proceeds of the sale will be used primarily towards debt repayment. -Nestos exercised its option not to extend the charter party with the vessel's previous charterers Rizzo-Botiglieri-De Carlini Armatori S.p.A. and the relevant time charter was terminated on May 25. -The vessel is currently trading in the spot market. -Shares at 0725 GMT up 1.0 pence, or 1.5%, at 67.5 pence. -By Iain Packham, Dow Jones Newswires; 44-20-7842-9269; [email protected] (END) Dow Jones Newswires June 08, 2010 03:27 ET (07:27 GMT)