Odfjell Terminals Sells Its Singapore Terminal

Business & Finance

Odfjell Terminals B.V., a joint venture between Odfjell SE and Lindsay Goldberg, has inked a deal with a fund managed by Macquarie Infrastructure and Real Assets to sell its 50% ownership in Oiltanking Odfjell Terminal Singapore for USD 300 million.

This implies an enterprise value of around USD 330 million for Odfjell Terminals B.V.’s share in the Singapore terminal.

Odfjell SE expects to cash in approximately USD 135 million from the sale.

“We are pleased to have concluded on the sale of our Singapore terminal at what we believe is a very attractive valuation and a testimony to the strength and quality of the investments made in Singapore since 2001,” Kristian Mørch, CEO of Odfjell and Chairman of Odfjell Terminals B.V., said.

 “We appreciate the cooperation we have had with our good partner Oiltanking in Singapore, and wish them and their new partner Macquarie Infrastructure and Real Assets a successful future in further developing the full potential of the terminal,” Frank Erkelens, CEO of Odfjell Terminals B.V. said.

As explained by Erkelens, the divestment is in line with Odfjell’s strategy to focus on the terminals where the company has managerial control of the assets and to further invest in growth opportunities in its core markets, such as Houston and Rotterdam.

The closing of the transaction is subject to customary regulatory approval and is expected during the fourth quarter of 2017.

Odfjell Terminals owns nine terminals worldwide with a combined storage capacity of 3.5 million cubic meters.