Malaysia International Shipping Corporation Berhad (MISC Berhad) and its wholly-owned subsidiary MTTI Sdn. Bhd. have today entered into an agreement with VIP Terminals Finance B.V. to dispose 50% of the issued share capital of VTTI B.V., for a cash consideration of USD 830 million.
VIP Terminals Finance B.V. is a wholly-owned subsidiary of Vitol Investment Partnership Limited, an investment vehicle sponsored and managed by the Vitol Group.
Upon completion of the proposed divestment, VTTI will cease to be a joint-venture company of MTTI.
“For MISC, this divestment will enable us to unlock the value of our investment in VTTI B.V. and take advantage of future opportunities within our core business of energy and petroleum related shipping,” said Yee Yang Chien, President/CEO of MISC .
Rob Nijst, CEO of VTTI said, “ Since inception, we have developed an independent storage company supported by the financial strength and market insight offered by Vitol, the world’s largest independent energy trading company. We are confident that the proposition to our range of customers and our asset footprint will continue to improve and grow.”
Today VTTI B.V. has total gross storage capacity of 54 million barrels, including assets under construction.
Moving forward, MISC said it would continue to strengthen its core businesses in energy shipping and energy-related services, as well as undertake opportunistic acquisitions or investments for future growth.