Taylor Maritime Investments Ltd. said Monday that it will acquire a 22.6% stake in Grindrod Shipping Holdings Ltd. for $77.9 million, reports Market Watch.
About the deal
The dry-bulk shipping company said that the acquisition will be funded from the sale of two Chinese-built vessels for $42.8 million, cash on the balance sheet, and short-term drawings on the company’s revolving credit facility. The transaction is expected to close in early 2022, it said.
The company said it will own 24.8% of Grindrod Shipping’s shares as it already had acquired a 2.2% stake in the open market.
“The investment in Grindrod Shipping is consistent with TMI’s strategy of seeking accretive growth opportunities to increase shareholder returns at a time when dry bulk market fundamentals remain strong with a historically low order book and a robust global demand outlook,” the company said.
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Source: Market Watch
