Mercator Offloads Veteran Bulker
Singapore-incorporated Mercator Lines has sold its 1997-built bulk carrier M/V Vrinda to Best Oasis Limited from Hong Kong.
The company said that the sale would bring it USD 4.25 million in net proceeds, which Mercator plans to use to repay outstanding debts.
The sale is expected to be completed by April 6, 2018, subject to obtaining the necessary regulatory approvals.
The Indian-flagged Panamax bulk carrier features 69,200 of dwt.
Based on the data from VesselsValue, the sale took place on March 14 and will see the bulker get demolished at an unknown yard.
In October 2017, the High Court of the Republic of Singapore appointed liquidators of Mercator Lines as the shipping company moved forward with the winding up of its business.
The company applied for winding up of its business in September 2017 after it spent months under judicial management.
During this time the Judicial Manager Yit Chee Wah held discussions with several potential investors to explore transferring the company’s listing status and/or its restructuring. However, these attempts failed.
Faced with liquidity shortage and poor business performance, Mercator Lines decided to exit the dry bulk business and sell its fleet of 11 dry bulkers at the beginning of 2016.
According to VesselsValue’s data, Vrinda was the only live vessel in the company’s fleet.
World Maritime News Staff