TOP Ships Sells Fleet

TOP Ships' oil/chemical tanker, Lichentstein. Photo courtesy TOP Ships
TOP Ships’ oil/chemical tanker, Lichentstein. Photo courtesy TOP Ships

Athens-based shipping company TOP Ships Inc. (Nasdaq: TOPS) has announced that it has entered into agreements to sell its fleet of six vessels to pay down debt and fund new vessel acquisitions.

TOP Ships says it has struck a deal with an affiliate of the AMCI Poseidon investment fund to sell its six shipowning subsidiaries, which own the company’s six vessels, for an aggregate cash consideration of approximately $173 million less approximately $135 million in debt and swap obligations of TOP Ships that will be assumed by the buyers.

The deal includes all six vessels in TOP Ships fleet, including 5 Handymax product tankers all built within 2009 and 1 51,215 DWT bulk carrier built in 2002.

TOP Ships says it intends to use the proceeds of the sale to pay down existing liabilities on its balance sheet and, together with future borrowings, to initiate a program of acquisition of new vessels.