Team Tankers International Announces 1st Quarter 2018 Results

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(Image Courtesy: Tanker Shipping & Trade)

Team Tankers International Ltd. reported EBITDA for the 1st quarter of USD 2.5 million, compared with USD 2.1 million in the 4th quarter of 2017 (Q1’17: USD 4.3 million).  Net loss in the 1st quarter of 2018 was USD 7.3 million compared with a net loss of USD 11.9 million in the 4th quarter of 2017 (Q1’17 net loss: USD 6.6 million).

The average time charter equivalent rate for the fleet was USD 10,610 per day this quarter, compared with USD 10,607 per day in the previous quarter.

In late February, the Company entered into an agreement to acquire all outstanding shares in each of Laurin Shipping AB and Anglo-Atlantic Steamship Company Ltd. The acquisitions were completed just after the close of the 1st quarter on 4 April 2018.

With the acquisition of Laurin, Team Tankers adds a leading medium range tanker (“MR”) operator with commercial and technical expertise to the Company’s robust chemical tanker platform.

The acquisition of Anglo Atlantic secures a critical mass of sophisticated MRs and a broad portfolio of contracts of affreightment which, combined with Team Tanker’s deep-sea chemical transportation expertise, creates a leading player in the long-haul transportation of chemical and clean petroleum product cargoes.

In connection with the acquisitions, the Company refinanced its existing USD 150 million loan facility and funded the acquisitions with a combination of cash on hand and a new USD 220 million financing agreement including a USD 200 million term loan and a USD 20 million revolving credit facility with a final maturity of 31 March 2023.

The Company additionally issued 21.1 million shares as consideration for the acquisitions.  Pro-forma, the Company has 209,579,173 total shares outstanding.

Additionally, in the 1st quarter of 2018, the Company purchased the Tosca (44,999 dwt, built 2004) and took delivery of the time charter-in vessels Blue Star (9,438 dwt, built 2011) and FMT Knidos (13,213 dwt, built 2010).  The Company redelivered the time charter vessels Oceanic Crimson (13,273, built 2008) and the Venezia D (10,020 dwt, built 1999).

Subsequent to quarter end, the Company agreed to time charter-in the Tromso, (12,934 dwt, built 2008) for a one-year period with an optional second year.  Delivery is expected early May.

Sea News, May 8