Business News | Tata Power Completes Sale Transaction of Ships for $212.76 Million

Mumbai (Maharashtra) [India], July 7 (ANI): Singapore-based Trust Energy Resources Pte Ltd (TERPL), a wholly-owned subsidiary of the Tata Power, on Tuesday announced the completion of a sale of its three ships to German Oldendorff Carriers GmbH & Co KG for 212.76 million dollars.

The ships are MV Trust Agility, MV Trust Integrity and MV Trust Amity.

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TERPL will now cater to shipping requirements of the company's imported coal-based CGPL plant at Mundra under an asset light model which will help unlock significant value and returns for the shareholders. The sale proceeds will be used towards reducing the debt as well as to fund future growth plans.

"The sale of our shipping assets announced today is in line with our long-term plans to reduce debt and raise funds to invest in our future growth plans, including expanding our presence in the renewable energy business," said CEO and Managing Director Praveer Sinha.

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The sale includes existing long-term contracts associated with the ships with Oldendorff Carriers which is one of the largest dry-bulk shipping companies in the world.

Each year, it carries about 320 million tonnes of bulk and unitised cargo around the world and performs 14,000 port calls in 125 countries. On average, Oldendorff operates 700 chartered and owned ships at any one time.

This is the second asset sale by Tata Power in recent months after the divestment in Cennergi in South Africa. (ANI)

(The above story is verified and authored by ANI staff, ANI is South Asia's leading multimedia news agency with over 100 bureaus in India, South Asia and across the globe. ANI brings the latest news on Politics and Current Affairs in India & around the World, Sports, Health, Fitness, Entertainment, & News. The views appearing in the above post do not reflect the opinions of LatestLY)