The Hindu Business Line : Varun Shipping buys vessel from Norway

The company in a notice to the Bombay Stock Exchange said it acquired an anchor handling and towing supply vessel (AHTS) with brake horse-power (BHP) of 16,085.

The vessel has been acquired from a Norwegian operator and the Indian shipping company will trade it in North Sea for the moment, Mr Arun Mehta, Vice-Chairman and Managing Director of Varun Shipping, told Business Line.

It is a specialised vessel which is used for deep sea oil exploration activity going on in areas such as North Sea, K-G basin and Atlantic Ocean off the coasts of Nigeria, Brazil and Mexico, the BSE notice said.

Vessel plan

Though Mr Mehta declined to reveal the cost of this vessel or plans of how many vessels in total would be acquired, he reiterated the company’s earlier stand that the entire $400 million would be utilised by this year-end.

The company announced its capex plan in January at the time of its third quarter results.

Fleet

With this acquisition, the company will be owning a diversified fleet of 21 vessels comprising 12 LPG carriers, three double hull aframax crude tankers, five anchor handling towing and supply vessels and one product tanker.

The acquisition was financed partly out of its internal resources and partly out of long term loans from State Bank of India and Bank of India, London, the notice said.

On Friday, the stock price of Varun Shipping closed at Rs 72.70 with a gain of 6.99 per cent.

More Stories on : Mergers & Acquisitions | Shipping

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
A wake-up call to airports after ‘dog-hit’

Fall in air ticket sales to short-haul destinations

AI offers non-stop Delhi-Kochi daily flight

Logistics: The next big growth driver

Aviation stocks rise

Varun Shipping buys vessel from Norway

Aegis Logistics mulls launch of subsidiary in Singapore

Bombardier gets $137-m order from Delhi Metro

CLW poised to hit target of 200 locos