Nasdaq-listed dry bulk shipping company Golden Ocean Group Limited has inked agreements to acquire 16 dry bulk vessels.
The acquisition will take the form of an all-share transaction where the company will issue in aggregate 17.8 million consideration shares and assume debt of US$285.2m, GOGL said.
Of the 16 vessels to be acquired, 14 will be acquired from subsidiaries of Quintana Shipping, and two ice class Panamax vessels will be acquired from subsidiaries of Seatankers, an affiliate of Hemen Holding, the company's largest shareholder.
"The acquisition will add significant scale to Golden Ocean's operating fleet and contribute to reducing cash breakeven levels," said the company.
Based on the closing price of the Golden Ocean share on the Oslo Stock Exchange on March 14, 2017 of NOK 61.50, equal to US$7.14 per share, the transaction value stands at US$412.4m.