Fossil Energy – Sale and Leaseback
SBM Offshore signed a non-recourse sale and leaseback financing agreement for FPSO Cidade de Paraty for the total amount of US$400 million and with a tenor of 8 years.
The transaction is expected to be completed by the end of April 2025, subject to the fulfillment of certain closing conditions.
FPSO Cidade de Paraty is owned by a unique purpose company owned by affiliated companies of SBM Offshore (63.125%) and its partners (36.875%). Under the terms of the agreement, the special purpose company will transfer the ownership to four Chinese leasing companies.
SBM Offshore and its partners continue to operate and maintain the asset until the end of the initial charter and operate contracts for the remaining 8.5 years.
Douglas Wood, CFO of SBM Offshore, commented:
“We are very pleased to have signed the refinancing of FPSO Cidade de Paraty, the Company’s first sale and leaseback financing. With this strategic transaction, we are demonstrating once again the value of our unique lifecycle offering, not only from an execution and operation standpoint but also in our ability to continue to provide innovative long-term financing solutions for our clients. We appreciate the continued support from our Chinese leasing partners.”
