Höegh LNG Partners LP today announced that it has agreed to acquire from a subsidiary of Höegh LNG Holdings Ltd. the remaining 49% ownership interest in Höegh LNG Colombia Holding Ltd., the sole owner of Höegh LNG FSRU IV Ltd.
The purchase price for the Acquisition will be USD 85.9 million. HMLP intends to settle the Purchase Price with a combination of cash on hand and a drawing under its existing revolving credit facility. The Purchase Price will be subject to certain post-closing adjustments for net working capital.
The Acquisition is expected to be completed by the beginning of January 2018 and is subject to customary closing conditions.
The Partnership purchased its initial 51% interest in Grace Holding in January 2017.
The Board of Directors of the Partnership and the Conflicts Committee have approved the acquisition and the purchase price. Management anticipates recommending to the Board a distribution increase with respect to the quarter ending March 31, 2018 to reflect the Acquisition.
Sea News, November 16