Last checked at 
5 Oct 2020 07:00
5 October 2020
Tufton Oceanic Assets Limited (the "Company")
$23.0m Investment in two Product Tankers
and new Debt Financing
The Board of Tufton Oceanic Assets Limited (ticker: SHIP.L) is pleased to announce that the Company has acquired two Product Tankers for $23.0m. These acquisitions take the Company's fleet to eighteen vessels.
Both vessels have fixed rate time charters for three to five years to a major commodity trading and logistics company. The yield during the charters exceeds the targets expressed in the Company's prospectus dated 25 September 2018.
In parallel with the acquisitions, a subsidiary of the Company will complete a debt financing of $24.0m with an all-in cost below 5.0%. The new loan will be secured on four of the Company's Product Tankers with charters of c.2.5 to 3 years plus charterers' options to extend. The loan has no recourse to the Company. The Company expects to repay the loan within 3 years in line with the visible charter cash flow, but can choose to repay over up to 5 years if the charters are extended.
Tufton Investment Management Ltd, the Investment Manager, continues to identify an attractive pipeline of opportunities across a range of the Company's target sectors.
For further information, please contact:
Tufton Investment Management Ltd (Investment Manager) Andrew Hampson Paulo Almeida | +44 (0) 20 7518 6700 |
N+1 Singer James Maxwell, Alex Bond (Corporate Finance) Alan Geeves, James Waterlow, Sam Greatrex (Sales) | +44 (0) 20 7496 3000 |
Hudnall Capital LLP Andrew Cade | +44 (0) 20 7520 9085 |
About the Company
Tufton Oceanic Assets Limited invests in a diversified portfolio of secondhand commercial sea-going vessels with the objective of delivering strong cash flow and capital gains to investors. The Company's investment manager is Tufton Investment Management Ltd. The Company has raised a total of approximately $250m (gross) through its Initial Public Offering on the Specialist Fund Segment of the London Stock Exchange, on 20 December 2017, a subsequent placing and offer in October 2018, a placing in March 2019 and a placing in September 2019.