Odfjell announced Monday that Odfjell Terminals (China) Pte. Ltd. (OTC) has today completed a sale of its 50% shareholding of Odfjell Terminals (Dalian) Co Ltd. (OTD) to VTTI Terminals I B.V., a subsidiary of VTTI group, for a total cash consideration of $59 million.
Kristian Mørch, CEO of Odfjell said, “The sale of OTD represents another step in the restructuring of our terminal portfolio and is in line with our strategy to focus on chemical terminals where we can harvest synergies with Odfjell Tankers or have another angle for further value creation by Odfjell.”
OTC is indirectly owned 51% by Odfjell and 49% by Lindsay Goldberg (LG). For Odfjell, the transaction will result in a net cash gain of $27 million and an equity gain of $13 million to be reported in the second quarter of 2020, it said.
