BW LPG Limited – Acquisition of 12 VLGCs from Avance Gas Successfully Completed With Delivery of Final Vessel BW Avior By Investing.com

SINGAPORE–( BUSINESS WIRE )–In reference to the stock exchange announcement on 15 August 2024 from Avance Gas Holdings Ltd (Avance Gas, OSE code: AGAS), BW 12 modern very large gas pipelines (VLGC) : LPG Limited (BW LPG or Company, OSE Ticker Code: BWLPG.OL, NYSE Ticker Code BWLP) has taken delivery of the vessel BW Avior On December 31, 2024. All 12 VLGCs are now being delivered through a smooth and seamless handover process and the transaction has been successfully completed.

BW LPG issued 2,141,000 new BW LPG shares to Avance Gas in partial consideration of the above-mentioned vessel.The total number of BW LPG shares issued after the issue is 159,282,000, representing a total share capital of USD 619,867,048 the shares are legally and validly issued and fully paid.

After the above issuance, Avance Gas holds 19.282 million shares in BW LPG, representing approximately 12.11% of the shares.Each tranche of compensation shares has a closing period of 40 calendar days from the delivery of each vessel and its issuance to Avance Gas. after.

The total transaction amount was USD 1,050 million and was settled by USD 585.4 million in cash consideration, a USD 132 million renewal relating to the two sale-leaseback vessels and the issuance of 19.282 million new BW LPG shares at a price of 17.25 USD: USD 332.6 million in liquidity after the transaction was completed 14 ships remain idle and could be financed in 2025.

Following the completion of the transaction, BW LPG owns and operates a total of 53 VLGCs, of which 22 are dual-fuel LPG, strengthening BW LPG’s position as the world’s largest owner and operator of VLGCs and dual-fuel VLGCs. : .

With the expanded fleet, BW LPG will maintain its balanced charter strategy, aiming to cover approximately 35-40% of its fleet capacity using time charters and cargo agreements.

The current spot market is trading at $40,000 a day, and we maintain a positive market outlook for 2025, although exchange rate fluctuations are expected. Over the past six months, normalized levels of Panama Canal transit have reduced sailing distances and put pressure on rates we see the market supported by strong growth in LPG production and exports from North America, which is expected to continue from the second half of the year and is based on export terminal expansion projects.

BW LPG CEO Mr. Christian Serensen commented: “I am very pleased to announce the successful closing of the transaction and the start of revenue generation from our additional 12 VLGCs. I am grateful to the Avance Gas team for ensuring an efficient and seamless handover process. We have issued 15% more shares to expand our portfolio by 40% owned fleet and through our expanded fleet we increase our commercial scale and operating leverage.

About BW LPG

BW LPG is the world’s leading owner and operator of LPG vessels, owning and operating very large gas pipelines (VLGC) with a total capacity of over 3 million CBM.With five decades of experience in LPG shipping, domestic LPG trading division and LPG terminal infrastructure With a growing distribution presence, BW LPG offers an integrated, flexible and reliable service to customers across the LPG value chain at https://www.bwlpg.com.

BW LPG is associated with BW Group, a leading global marine company involved in shipping, floating infrastructure, deepwater oil and gas production and new sustainable technologies.Founded in 1955 by Sir Y.K. By Pao, BW controls a fleet of more than 450 oil, gas and dry cargo vessels, with its 200 LNG and LPG vessels making up the largest gas fleet in the world.In the renewable energy sector, the group has investments in solar, wind, batteries, biofuels and in the field of water treatment.

This information is subject to disclosure requirements under section 5-12 of the Norwegian Securities Trading Act.

View the source version at businesswire.com. https://www.businesswire.com/news/home/20241231507899/hy/

For more information, please contact:

Christian Serensen, CEO of BW LPG
Samantha Sue, CFO, BW LPG
Mail: investor.relations@bwlpg.com

Source: BW LPG Limited