Klaveness selling shares to buy new CABU III carriers

The deal between Jiangsu New Yangzi Shipbuilding Co. and a KCC subsidiary totals US$56.4 million per vessel with a further US$5.1 million in delivery costs and zero-emission readiness. The newbuilds are expected to be delivered in 2026.

Compared to the existing CABU I vessels built in 2001/2 that the CABU III newbuilds will replace, the vessels are estimated to have 25-30% higher earnings capacity and around 35% lower CO2 emissions due to increased cargo carrying capacity and substantially lower fuel consumption.

The CABU III newbuilds are a key component of KCC’s plans to meet an expected growth in caustic soda import volumes to Australia and for meeting its target of reducing its carbon footprint by 45% (by 2030 relative to 2018).

Private placement

The cost of the new vessels will be met partly by the proceeds of the private placement with the remainder funded by cash.

The share offer will be directed towards Norwegian and international institutional investors with major shareholder, Rederiaksjeselskapet Torvald Klaveness, committing to sign up in accordance with its current proportion of around 53.76 per cent.

The final price and number and allocation of shares will be decided by the board of directors following a bookbuilding process currently under way. The minimum allocation will be €100,000 (US$107,615).