Avangaad Signs Agreement To Sell FSO Vessel For US$10.5 Mln
KUALA LUMPUR, Aug 13 (Bernama) -- Avangaad Bhd has signed a memorandum of agreement to sell its floating storage and offloading (FSO) vessel, FOIS Nautica Tembikai, to MTC Energy Sdn Bhd for US$10.5 million (RM44.5 million).
In a Bursa Malaysia filing, Avangaad said the divestment unlocks RM44.5 million in immediate cash flow, and the proceeds will be strategically redeployed into higher-yielding and longer-tenured assets, in line with Avangaad’s long-term strategy, while providing additional headroom for financial flexibility.
“The transaction is expected to strengthen the group’s financial capacity to sustain a broad, balanced fleet and expand its service offerings across oil and gas (O&G) and non-O&G markets.
“The next capital deployment is under consideration. However, the gain affirms the group’s stable operational cash flow and provides strategic capacity to pursue expanded charter contract opportunities,” it said.
It added that barring any unforeseen circumstances and subject to all relevant approvals being obtained, the proposed sale of the vessel is expected to be completed by the fourth quarter of 2025.
-- BERNAMA