Performance Shipping Inc., a global shipping company specializing in the ownership of tanker vessels, announced that, through a separate wholly-owned subsidiary, it has signed a Memorandum of Agreement to sell the 2011-built, 105,400 dwt Aframax tanker vessel, M/T P. Yanbu, to an unaffiliated third party for a gross sale price of US$39 million. The vessel was successfully delivered to her new owner today. The vessel was debt free at the time of sale.
The Company acquired the M/T P. Yanbu in the fourth quarter of 2020 for US$22 million. This sale is expected to generate a gain of approximately US$21.5 million in the first quarter of 2025, excluding any commissions and transaction related costs.
Commenting on this transaction, Andreas Michalopoulos, the Company’s Chief Executive Officer, stated:
“The sale of the M/T P. Yanbu marks yet another milestone in our fleet renewal strategy, focused on our commitment to modernizing our fleet through our newbuild program and expansion through selective second-hand vessel acquisitions. We pursue these transactions opportunistically when favorable market conditions arise. The sale of this mid-aged vessel enables us to capture significant value amid appreciated tanker vessel values. With cash proceeds from this transaction, our cash balance is expected to increase in excess of US$105 million, representing more than twice our year-end debt balance of US$47.7 million. Following this vessel sale and the delivery of our three newbuild LR2 Aframax tankers, as of January 2026, our fleetwide average age will improve considerably, decreasing from 14 to 10 years. With a robust balance sheet, we look forward to the delivery of our three newbuild LNG-ready LR2 Aframax tankers and our newbuild LR1 chemical/product oil tanker, beginning with the delivery of our first newbuild LR2 tanker around August 2025.”
