Eletson Acquires Three Panamax Product Tankers

Eletson Holdings Inc. has entered, through subsidiaries, into definitive agreements to acquire three Korean built 2004 Panamax (LR1) product tankers for a price of $66.3mil.

The expected delivery dates of the vessels are end January 2014, end March 2014 and early April 2014. These acquisitions were funded by proceeds from the Company’s recent 9.625% First Preferred Ship Mortgage Notes and own funds.

Peter Kanelos, Chief Financial Officer of Eletson Corporation, commented: “This acquisition is consistent with our strategy of fleet expansion in what we believe is an opportune time in the product tanker cycle. With our proven business model delivering best in class operating metrics, we are confident these units will make a positive contribution to our cashflow while serving our blue chip customers.”