Navios Maritime to acquire FSL Trust

Navios Maritime Holdings, Inc. will acquire 154.4 units in First Ship Lease Trust from FSL Holdings, and all issued and paid-up share of FSL Asset Management Ptd. Ltd.    First Ship Lease Trust’s (FSL Trust) units and shares will be acquired by Navios Maritime Holdings, Inc., FSL Trust said.
   Navios Maritime will acquire from FSL Holdings 154.4 million units in FSL Trust, representing about 24.2 percent of the total number of issued units in FSL Trust, for a consideration of $20 million, and all issued and paid-up shares of FSL Asset Management Ptd. Ltd., according to the term sheet issued by FSL Trust on Friday. In addition, Navios Maritime will grant FSL Trust a $20 million second priority mortgage convertible loan to pay down the existing mortgage debt and other loan facilities of FSL Trust or as part of the refinancing of the same.
   Once the loan is converted, Navios will have ownership of at least 50.1 percent of all units in the trust.
   Financial details for the sale of units and shares were not revealed, and the acquisition is subject to approval by Sept. 30, 2017.
   FSL Trust is owned by FSL Holdings, which in turn is owned by the trust’s controlling unit holder HSH Nordbank. The trust has a fleet of 22 product tankers, crude tankers, chemical tankers and containerships. FSL Trust is also the last of Singapore’s three listed shipping trusts, with Rickmers Maritime winding up operations and Pacific Shipping Trust already having filed for de-listing, Seatrade Maritime News reported.
   Navios Maritime announced the acquisition of 14 Rickmers Maritime vessels last week and currently controls a fleet of over 170 vessels, including dry bulk and container vessels, crude and product tankers.