According to a report from Economic Information Agency on the 4th, LC LOGISTICS (02490) announced that its subsidiary has established a sale-and-leaseback arrangement for a vessel, selling a container ship to the subsidiary of CDB LEASING (01606) as the shipowner under a shipbuilding agreement, which is expected to involve approximately USD 100 million. After the delivery of the vessel, the shipowner will lease the vessel back to the group as the lessee under a bareboat charter agreement.

The group stated that the vessel is a container ship with a capacity of 14,000 TEUs, currently being built by Jiangnan Shipyard. The contract purchase price is approximately USD 145 million, and the expected book net value of the vessel on April 30 is USD 57.92 million, which is equivalent to 40% of the contract purchase price. The lease term involved in the bareboat charter agreement is 120 months.

The group indicated that the net proceeds from the sale, amounting to approximately USD 86.88 million, will be used to settle the outstanding shipbuilding costs payable to Jiangnan Shipyard and China Shipbuilding Trading under the shipbuilding agreement; and approximately USD 14.48 million will be used to replenish internal resources. (wh)