NorSea Group sells properties for NOK 875 million to Asset Buyout Partners
The value of the transaction is NOK 875 million including debt.According to Leif Emil Brekke, CEO of NorSea Group Property, the company’s main objective with the transaction is to adjust its total property portfolio and strengthen its cash and assets balance. NorSea Group Property has various ownership shares in the five property companies that have been sold and will release funds of approx. NOK 140-150 million in the sale. The properties will, after the acquisition from ABP, still be managed on a daily basis by today’s management teams, causing minimum interference on the running business of its tenants.
Asset Buyout Partners (ABP) is a new company established to make industrial investments in key Norwegian oil and gas assets. Their first transaction is the acquisition of a portfolio of five oil and gas properties from NorSea Group Property, a subsidiary of NorSea Group. The five properties are situated in strategic oil and gas hubs:
• Hammerfest (two), • Coast Center Base outside Bergen (two) and • Vestbase outside Kristiansund.
The properties were all built during 2013/2014 and cover about 31,000 square meters of office space, warehouse and workshops. The main tenants are Aker Solutions, one of the largest Norwegian oil service companies, listed on the Oslo Stock Exchange; Italian national oil company ENI; and its Norwegian counterpart Statoil, all considered blue chip customers representing limited counterparty and credit risk. The weighted average lease term is ca. 14 years, providing good visibility for ABP.
For more information, please see the full press release on the NorSea Group's website: http://www.norseagroup.com/media-center/news-archive/asset-buyout-partners-aquires-properties-for-nok-875-million-from-norsea-group