JULY 2014
2013 was a year with an underlying hope that most shipping segments We wish our investors a sunny summer vacation.
would experience improved earnings and better markets. Many private
equity funds were ready to invest in new ventures and new shipowners Kind regards,
emerged on the stock exchange. In addition, the traditional shipping The team at RS Platou Finans Shipping / RS Platou Project Finance
stocks recovered some of the market value lost during the previous four
years. However, the fundamentals are still uncertain and the poor char-
PROLOGUE 1
RS PLATOU PROJECT FINANCE AS/ R. S. PLATOU FINANS SINGAPORE PTE. LTD. RS PLATOU REAL ESTATE AS RS PLATOU INVESTOR SERVICES AS ARS
RS PLATOU FINANS SHIPPING AS R. S. Platou Finans Singapore Pte. Ltd. was established in early 2007 RS Platou Real Estate AS is one of the leading players within RS Platou Investor Services AS ARS is a wholly owned subsidiary of
RS Platou Project Finance has since it was established in 2004 be- to capture the growing demand for new financial instruments in the Norwegian real estate project finance, and is now a fully integrated RS Platou Project Finance, a leading finance company specialising in
come one of the major finance companies in the world that specialize Asian shipping and offshore markets. The limited partnerships struc- real estate corporate finance house. The company is specialized in Shipping and Offshore projects focusing to private investors. Platou
on shipping and offshore related financial schemes in the interest of tures has increased in popularity all over the world and in order to be sourcing, structuring, asset management and facilitating of com- Investor Services objective is to assist private investors in establish-
both ship owners and financial investors. closer to the customers, the R. S. Platou Finans Singapore Pte. Ltd. mercial property, focusing on the Norwegian and Swedish real estate ing new companies. The Company is authorised to offer accounting
office was opened with a view for further expansion. market. services in accordance to Norwegian law.
The main objective is to identify attractive investment opportunities
involving the purchase of vessels or offshore equipment attached with We believe that being present in Asia and having the ability to meet RS Platou Real Estate is an independent company within the RS We can offer our customers a wide scope of services, including:
secure employment, alternatively present asset play cases where the clients within short notice gives us a great advantage in concluding Platou group, and its entrepreneurs have a long track record, each Establishment and incorporation of LTD, NUF, limited-,
timing is proven to be optimal. more transactions in structured finance. With the booming Asian with 15-20 years of experience respectively. We believe that a real general- and internal partnership
markets and clients demand for expansion, the limited partnerships estate project finance house shall have the competence and under- Accounting and budgeting
The strength of RS Platou Project Finance lies not only with the has created an additional source for Asian based shipping and off- standing to control the whole value-chain, and we have over the last Remittance
highly q ualified staff, but also with the vast shipping related resources shore clients to use both the regional and global equity markets to years focused on securing the operational competence to handle Wage payment
available within the RS Platou Group. expand their operations. every-day-life in our projects, and serve the tenants in a best possible Annual accounts with tax documentation
way. Tax advice
RS Platou Project Finance is an independent company within the Being a hub for shipping, offshore and maritime activities, the impor- Secretarial assistance
Platou Group utilising the full potential of having close contact with tance of an Asian presence for us has become apparent over the last An extensive network in the Nordic real estate market and a team pro-
shipbrokers, ship-utilizing, ship managers, bankers, lawyers and con- few years. More European banks are also increasing their activities viding highly specialized real estate knowledge, should pave the way Why choose Platou Investor Services?
sultants worldwide. through having fully licensed offices in Singapore. for many interesting opportunities in the coming year. We have close connections with numerous well-known and respected
companies and establishments, such as lawyers, banks and chartered
Core Activities: We are pleased to be part of the RS Platou Group. The unparalleled The companys core activities are: accountants, whose services can be utilised by our investors if so
Identify interesting financial shipping opportunities. strength of the RS Platou Group in Singapore provides great syner- origination of interesting financial real estate opportunities wished.
Execute and syndicate shipping projects. gies in both sourcing and servicing clients in Asia. structuring and re-structuring of real estate projects
Placement of debt. structuring of development and opportunistic real estate projects Customers of RS Platou Investor Services will, just like customers of
Corporate Management. project financing of real estate projects RS Platou Project Finance, be advised of and have access to interest-
Establish an active second hand market on limited shares. corporate finance advising within the commercial real estate sector ing investment projects proposed by RS Platou Finans Shipping. Our
real estate asset management employees have substantial qualifications regarding e stablishing and
RS Platou Project Finance has a strong focus on Corporate real estate property management book keeping of companies under the new N orwegian tonnage tax
Management. In addition to managing projects developed by RS system.
Platou Finans Shipping, we have also been elected Corporate
Managerfor projects established by others. With specialized shipping The cost of our services is very competitive compared to the market
knowledge we handle all kind of project types from asset play, time rates in general.
charter to bareboat deals. We provide services for the entire life cycle
of a project from establishment to liquidation. This includes, among To ensure first-class service the investor establishes a personal busi-
others, to follow up the day to day running of the company, to pro- ness relation with the assigned accountant for easy and timely assis-
duce all financial statements and tax statements and secretary services tance.
for the board of directors. Our highly qualified team seek to provide
the best service possible, optimizing information and cash flow to the
investors.
Terms:
Business Unit News Marit ime Finance Phot os/Mult imedia Gallery Available: ht t p://www.businesswire.com/mult imedia/home/20131016005302/en/
Contact:
Will Help Expand CIT Maritime Finances Portfolio of Products and
CIT MEDIA RELATIONS:
Services C. Curt is Rit t er, 973-740-5390
Direct or of Corporat e Communicat ions
Curt .Rit t er@cit .com
NEW YORK--(BUSINESS WIRE)--CIT Group Inc. (NYSE:CIT) cit .com, a global leader in t ransport at ion finance, t oday announced or
t hat CIT Marit ime Finance has ent ered int o a Cooperat ion Agreement wit h RS Plat ou Finans AS t hat will help CIT Marit ime Mat t Klein, 973-597-2020
Finance expand int o t he leasing market . Vice President , Media Relat ions
Mat t .Klein@cit .com
Through t his agreement CIT Marit ime Finance will have access t o t he RS Plat ou Group net work of services, which will help us or
t o furt her build a high qualit y port folio of marit ime asset s, said C. Jeffrey Knit t el, President , CIT Transport at ion Finance. CIT INVESTOR RELATIONS:
Ken Brause, 212-771-9650
Svein Engh, Group Head and Managing Direct or of CIT Marit ime Finance, said, We see great growt h pot ent ial in t he shipping
Execut ive Vice President
finance business and are very pleased t o ent er int o t his relat ionship wit h RS Plat ou Finans. Their deep indust ry expert ise will
Ken.Brause@cit .com
be an asset t o CIT Marit ime Finance as we cont inue t o build our port folio.
or
Pet er Anker, CEO of RS Plat ou ASA, said, As a world leading brokerage house in shipping and offshore, t his cooperat ion RS Plat ou Finans:
agreement wit h CIT Marit ime Finance will furt her increase t he range of services t hat we are able t o offer our client s. Christ ian W. Svensson, +47 23112807
Senior Part ner
Chris W. Svensson and Axel M. Aas, Co-founders of RS Plat ou Finans AS, said, In t he present banking world it has become c.svensson@plat ou.com
even more import ant t o find alt ernat ive financing. We are very pleased t o develop t his relat ionship wit h CIT and learn from or
t heir long-t erm experience of leasing asset s t o t he aerospace and rail sect ors. Axel M. Aas, +47 23112806
Senior Part ner
EDIT ORS NOT E: a.aas@plat ou.com
View CITs corporat e overview video (cit .com/corporat evideo) t hat showcases our support of t he small business, middle T icker Slug:
market and t ransport at ion sect ors. Ticker: CIT
Exchange: NYSE
Follow us on Twit t er: @cit group, on LinkedIn: LinkedIn.com/company/cit , on YouTube: YouTube.com/cit groupvideo, and on ISIN:
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cit .com/newsalert s or subscribe t o t he RSS feed at cit .com/rss.
About RS Platou
RS Plat ou is a leading int ernat ional ship- and offshore broking company est ablished in 1936. The Company serves t he
shipping and offshore indust ry worldwide by providing services wit hin chart ering, sale and purchase and cont ract ing of ships
and offshore unit s. Furt her, t he Company provides invest ment banking services and project financing wit h a core focus on
t he shipping and offshore indust ries. The core services are complement ed by a large variet y of qualit y research mat erial and
market report s provided by t he economic research group and t he research analyst wit hin t he invest ment bank. The
Companys head office is in Oslo, Norway. RS Plat ou is also present in Singapore, Aberdeen, London, Houst on, Moscow, Accra,
Cape Town, Rio de Janerio, Shanghai, Sout h Korea, Piraeus, Geneva, Dubai, Pert h, Sydney, Melbourne and New York. The Group
has approximat ely 350 employees worldwide.
CIT Marit ime Finance offers senior secured loans, sale-leasebacks and bareboat chart ers t o owners and operat ors of
oceangoing cargo vessels including t ankers, bulkers, cont ainer ships, car carriers, as well as offshore vessels and drilling rigs.
cit .com/marit ime
About CIT
Founded in 1908, CIT (NYSE: CIT) is a bank holding company wit h more t han $35 billion in financing and leasing asset s. It
provides financing and leasing capit al and advisory services t o it s client s and t heir cust omers across more t han 30 indust ries.
CIT maint ains leadership posit ions in small business and middle market lending, fact oring, ret ail finance, aerospace,
equipment and rail leasing, and vendor finance. CIT operat es CIT Bank (Member FDIC), it s primary bank subsidiary, which,
1
4 PROJECTS PROJECTS 5
Published on CIT Press Releases (ht t p://cit .newshq.businesswire.com) on 5/21/14 8:30 am EDT
NEW YORK--(BUSINESS WIRE)--CIT Group Inc. (NYSE:CIT) cit .com, a global leader in t ransport at ion finance, t oday announced Language:
t hat CIT Marit ime Finance, wit h t he assist ance of RS Plat ou Finans, complet ed a $49 million financing t hrough a bareboat English
chart er arrangement wit h Grieg Shipping II AS, a subsidiary of t he Grieg St ar Group AS (Grieg St ar), t he second largest open
hat ch general cargo carrier owner in t he world. The subject vessel was St ar Lygra, a 50,700 deadweight t onnage open hat ch Contact:
general cargo carrier. Financing from CIT was provided by CIT Bank, t he U.S. commercial bank subsidiary of CIT. Terms of t he
t ransact ion were not disclosed. CIT MEDIA RELATIONS:
C. Curt is Rit t er, 973-740-5390
Were pleased t o acquire t his st at e-of-t he-art vessel and bareboat chart er it t o Grieg St ar, one of t he largest and most Senior Vice President of Corporat e Communicat ions
reput able owners of open hat ch general cargo carriers in t he world, said Svein Engh, Managing Direct or and Group Head of Curt .Rit t er@cit .com
CIT Marit ime Finance. This t ransact ion represent s our first financing t hrough a bareboat chart er and reflect s our abilit y t o or
st ruct ure a t ailored financing solut ion t hat affords Grieg St ar purchase opt ions and increased capit al flexibilit y. Mat t Klein, 973-597-2020
Vice President , Media Relat ions
St ar Lygra, delivered December 2013, was built at Hyundai Mipo Dockyards in Sout h Korea and is part of a series of 10 L-class Mat t .Klein@cit .com
vessels. The L-class vessel represent s t he 12t h generat ion in t he Grieg St ar Open Hat ch concept . The open hat ch design is or
a well-proven concept and is t ailor-made for t ransport at ion of forest product s, st eel, cont ainers and ot her oversized CIT INVESTOR RELATIONS:
cargoes. The vessel is equipped wit h four cranes wit h power swivel for st eady cargo handling. The open hat ch allows for Barbara Callahan, 973-740-5058
complet ely unobst ruct ed cargo loading and handling. The ship is 670 feet long and 105 feet wide wit h nine cargo holds. Fully Senior Vice President
loaded, t he ship can reach speeds of 15.5 knot s, or a lit t le more t han 17 miles per hour. Barbara.Callahan@cit .com
Camilla Grieg, CEO of Grieg St ar, said, This cust omized t ransact ion complement s our exist ing port folio of more t han 30
owned ships and will allow us t o service t he increasing t ransport at ion demand around t he world. We have more t han 50 years
T icker Slug:
of experience in t he marit ime sect or and are pleased t o complet e our first t ransact ion wit h Svein and his t eam, whose deep Ticker: CIT
indust ry knowledge served us well. Exchange: NYSE
ISIN:
EDIT ORS NOT E: US1255811085
View CITs corporat e overview video (cit .com/corporat evideo) and CIT Perspect ives (cit .com/perspect ives), which showcase
our insight s and abilit y t o put our knowledge t o work for t he small business, middle market and t ransport at ion sect ors. Source URL: http://cit.newshq.businesswire.com/press-release/business-unit-news/cit-completes-49-million-bareboat-charter-
Follow us on Twit t er, LinkedIn, YouTube and Facebook or regist er t o receive press releases at cit .com/newsalert s. financing-grieg-star
Founded in 1961 and headquart ered in Bergen and Oslo, Grieg St ar, is one of t he largest owners of open hat ch general cargo
carriers in t he world. The Groups t rade rout es cover Nort h and Sout h America, Europe and Asia, and one of t he major t rade
rout es is t he Nort h American pulp and paper cargo sailings t o Asia and Europe. The Group owns, manages and operat es 34
open hat ch general cargo carriers (of which 32 are owned) wit h sizes bet ween 30,000 and 50,000 dwt . The Group employed
approximat ely 1,100 persons, of whom 850 are sailing personnel and 250 office personnel. Dat ing back t o 1884, t he Grieg
family cont rols a number of businesses mainly relat ed t o t he marit ime indust ry. griegst ar.com
About RS Platou
RS Plat ou is a leading int ernat ional ship- and offshore broking company est ablished in 1936. The Company serves t he
shipping and offshore indust ry worldwide by providing services wit hin chart ering, sale and purchase and cont ract ing of ships
and offshore unit s. Furt her, t he Company provides invest ment banking services and project financing wit h a core focus on
t he shipping and offshore indust ries. The core services are complement ed by a large variet y of qualit y research mat erial and
market report s provided by t he economic research group and t he research analyst wit hin t he invest ment bank. The
Companys head office is in Oslo, Norway. RS Plat ou is also present in Singapore, Aberdeen, London, Houst on, Moscow, Accra,
Cape Town, Rio de Janerio, Shanghai, Sout h Korea, Piraeus, Geneva, Dubai, Pert h, Sydney, Melbourne and New York. The Group
has approximat ely 350 employees worldwide.
CIT Marit ime offers senior secured loans, sale-leasebacks and bareboat chart ers t o owners and operat ors of oceangoing
cargo vessels including t ankers, bulkers, cont ainer ships, car carriers, as well as offshore vessels and drilling rigs.
cit .com/marit ime
Founded in 2000, CIT Bank (Member FDIC, Equal Housing Lender) is t he U.S. commercial bank subsidiary of CIT Group
Inc. (NYSE:CIT). It provides lending and leasing t o t he small business, middle market and t ransport at ion sect ors. CIT Bank
(BankOnCIT.com) offers a variet y of savings opt ions designed t o help cust omers achieve t heir financial goals. As of March 31,
2014, it had over $13 billion of deposit s and more t han $16.5 billion of asset s. cit .com/CITBank
1
6 PROJECTS PROJECTS 7
RS Platou Project Finance AS
RS PLATOU FINANS SHIPPING
R. S. Platou Finans
Singapore Pte. Ltd
Ship Finance
RS Platou Finans
Shipping
Ship Finance
RS Platou Investor
Services
Investor Services
RS Platou Project
Finance
This year, the spotlight has been on the capital markets, where In traditional shipping, we have noted that the interest lies in
risk appetite for shipping among both institutional and retail 100 percent equity financed asset play projects, with a time
investors has come back strong. While shipping stocks have, horizon of two to three years.
Natalie Teh Christian W. Svensson Eva Lise Bjerke on average, performed better than the exchange indices, it has
Accountant Senior Partner Corporate Manager also been a refreshing year in terms of equity raised for shipping RS Platou Finans Shipping believes there will be several inter-
companies through the stock exchanges and the OTC market. esting investment opportunities in 2014. Even though there are
overcapacity challenges ahead and bunker prices remain high,
Private equity firms have been increasingly active in teaming up there are positive indicators of a near-term recovery for indu
with shipowners to jointly expand their fleet at todays low new- strial shipping.
building prices. The major players in private equity have been
US-based firms, while the shipowners involved have varied The popularity of Eco-design has contributed to lower second-
Trond Hamre Erik Kristian Andresen from Americans and Greeks to Germans. hand prices for non-eco modern industrial shipping assets that
Senior Partner Corporate Manager
still have most of their economic life ahead of them. This year
The main challenge in the KS market has been that even though we have seen the world economy picking up steam led by in-
investors are interested in picking up quality assets at histori- creased growth in the US, EU and Asia. As markets recover, we
cally low price levels, banks are still unwilling to lend to new believe these assets will be employed at profitable levels and
projects. that their second-hand value will increase significantly.
Instead, shipping banks have been actively competing for large The Offshore market is forecasted to remain strong in 2014, due
Morten Astrup Elisabeth Relbo shipowners using a low-margin/more ancillary services stra to a stable high oil price and a projected growth in global E&P
Project Broker Secretary
tegy. At this point in time, most banks are still reluctant to take spending of 6.1 percent.
more risk and are instead focusing on syndication and existing
clients. A substantial number of semis, jack-up rigs, and drillships are
scheduled to be delivered over the next three years, which will
There are still a few active banks that are interested in projects also have a positive impact on OSV demand.
with higher margins, and we are expecting more banks to in-
crease their activity levels as their liquidity improves and the RS Platou Finans Shipping will continue to explore interesting
Truls Wiese Kolstad
Project Broker
shipping markets recover. opportunities in Offshore for our investors.
As freight rates have climbed in the second half of 2013, we have THE NORWEGIAN KS MARKET IN 2013
noticed a growing interest from our investors. The reported project value among the top four KS houses was
in excess of 700 mill USD in 2013. This is a 15 percent increase
For Offshore projects, we see that there is an interest in long- from last years numbers, continuing the positive trend over the
term bareboat projects to a strong counterpart, with a solid cash last three years. The level of activity is still limited compared to
Heidi Meyer Westby
flow and dividend yield. the top year of 2007, when total investments reached 5 bill USD.
Office Manager
Recently, we have seen modern KG financed container ships CO-OPERATION AGREEMENT WITH CIT MARITIME
being sold by banks at low prices and we are expecting to see LEASING
more of this in 2014. Analysts are predicting this segment will In October 2013, RS Platou Project Finance signed a co-opera-
start to recover in 2015, which makes it an interesting oppor- tion agreement with CIT Maritime Finance, to assist the com-
tunity for asset plays. pany in building a ship leasing portfolio, as well as providing
corporate management services for their future fleet. CIT is a
RS PLATOU FINANCE SHIPPING PORTFOLIO OF PROJECTS leading US-based leasing bank that specializes in leasing to the
This year, RS Platou Finans Shipping has successfully placed transportation industry. The company has approximately 30
three new projects in the container, offshore and chemical bill USD of assets in the Air and Rail Transportation industries
tanker segments with a combined project value totaling 487 and is currently in the process of building up a Maritime leasing
mill NOK. portfolio.
In total, RS Platou Project Finance is the corporate manager for The deals done with CIT will not be in competition with our
66 vessels in 30 different projects. KS activity, as these deals are of much larger scale to solid coun-
terparts, with good credit ratings or long-term contracts to oil
The corporate management also includes some projects limited majors and major commodity traders.
to pure accounting services. There is a market for professional
independent corporate management services and RS Platou There has been a lot of activity in lease financing this year, espe-
Project Finance has been appointed by several domestic and cially for modern offshore support vessels, LNG carriers and
foreign shipowners to perform this service. container ships. It is apparent that large shipowners are starting
to consider leasing as a competitive source of long-term financ-
The current portfolio consists of 30 offshore supply vessels, ing that provides added benefits over traditional bank financing.
11 chemical tankers, 10 product tankers, six bulk carriers, four
multipurpose vessels, three cable layers, two container ships, There are a handful of large companies that can compete with
one seismic and one veteran passenger ship. CIT for business, but it is our experience that CIT can out-
compete these companies while delivering a time-effective and
The majority of our existing projects are performing well, and flexible leasing solution.
we have seen improvements in the estimated residual value of
TOTAL PROJECTS BY EMPLOYMENT TOTAL PROJECTS BY SEGMENTS SUMMARY KS-HOUSES 2005 - 2013
(FEARNLEYS, NRP, PARETO, PLATOU)
Mill $
Spot 4% Mulitpurpose 6% 4,000 Total Project Price
Timecharter 13% Bulk 9% 3,500 Paid in Equity
Uncalled capital
3,000
1,500
Seismic 1% 1,000
Container 2%
500
0
Chemical 17% 2005 2006 2007 2008 2009 2010 2011 2012 2013
Cable Layer 5%
WORLD SHIPPING 2013: decline and were about one third lower than in 2012. Total
demolition figures were somewhat lower than in 2012, but
still remained relatively elevated compared to previous years.
Total fleet growth reached 5 percent against 2012, the lowest
segment was the most active, by far, with the number of transac-
tions increasing by nearly 30 percent from 2012. Overall, the to-
tal volume of S&P transactions increased by about 10 percent.
12 THE SHIPPING MARKET ENVIRONMENT (FROM RS PLATOU ASAS ANNUAL REPORT 2014) THE SHIPPING MARKET ENVIRONMENT 13
gests that seaborne trade for LPG increased by 6 percent, driven er energy costs and of continued heavy monetary stimulation,
by a surge in US exports, while ammonia trade fell by almost began to pick up speed as the negative effects of automated tax
3 percent. Delivery of new tonnage picked up significantly in hikes and spending cuts at the start of the year gradually wore
2013 with 1.3 cbm of new carrying capacity causing the fleet to off. The Eurozone economy ended two years of contraction in
expand by 4 percent this year, leading to a 5 percent hike in the the spring, helped by the combination of increased competitive-
utilization rate. This lifted spot rates for VLGCs by $6,000 from ness through lower wage growth and more stable financial condi-
2012 to $36,000 per day. tions, which together contributed to stimulating overall activity.
The result was an upswing in activity, coupled with the need to
CAR CARRIERS IN 2013: STATUS QUO rebuild depleted inventories, causing production and imports to
2013 was a rather uneventful year in the car carrier market. strengthen. The improvement must be kept in perspective, how-
Demand growth was supported by strong US car sales and ever, as GDP growth only improved on a quarter-to-quarter ba-
healthy export volumes out of India, Thailand and Europe. sis. Measured on a year-on-year basis, the economy continued to
However, main exporters Japan and Korea reported a 3 per- contract through the year. The Japanese economy also improved,
cent reduction in volumes, mainly caused by weaker demand in as new Prime Minister Shinzo Abe introduced fiscal stimulus, as
Europe. Global demand growth is estimated to have been below well as a more aggressive monetary policy in order to weaken the
3 percent in 2013. Combined with fleet growth of slightly above Yen and increase the economys competitiveness.
3 percent, this caused a marginal reduction in fleet capacity uti-
lization to around 86 percent. WHICH HELPED AVOID A DEEPER SLUMP IN THE
EMERGING ECONOMIES
WORLD ECONOMY AND WORLD SHIPPING This was a much-needed development, as the pace of growth
Through the first half of 2013, the development of the world in emerging economies slowed precipitously in 2013, includ-
economy mirrored the disappointing performance of recent ing that of China. Although Chinese growth figures remain
years with a resulting weak development of tonnage demand. the envy of virtually all other countries, the pace of growth has
In contrast with previous years, however, the economy was been slowing consistently since 2010. The slowdown deepened
able to pick up speed on its own during the second half, with- in the first half of 2013, with virtually all sectors of domestic
out a financial crisis triggering extra stimulus from Central activity decelerating in response to tighter credit conditions
Banks. The result was an upturn in trade growth and the main and weaker exports. As a result the economy slowed to an esti-
commodity shipping segments all responded with a rebound mated 7.5 percent growth rate, the lowest figure for more than
latter part of the year. The fleet increased slightly less than 8 failed in their multiple attempts to raise freight rates. The uplift in freight rates. a decade. The economy appeared to stabilize during the second
percent. Fleet utilization thereby rose by around 1 percentage in box rates in the last two months of the year was driven by half of the year, however, as exports rebounded and there was a
point calculated on a yearly average basis. stronger year-end demand and capacity withdrawals in major MATURE ECONOMIES SURPRISING ON THE UPSIDE. moderate uptick in private sector spending.
services. Charter rates were also under constant downward However, the key change taking place in 2013 was that the
The dry bulk market followed a similar pattern as the tanker pressure apart from smaller geared tonnage, which experienced mature economies turned out to be capable of rising from the Other emerging markets, from India to Indonesia and Turkey to
market, with a weak first half of the year and a rebound in the healthy demand and falling fleet growth over the year. Prelimi- ashes and resuming a leadership role, which in turn helped to Brazil, also experienced slowdowns, as authorities were forced
second half. China reduced iron ore inventories in the first half nary data suggests a slight drop in fleet utilization resulting from break the downward momentum of the emerging economies. to fight off the inflationary pressure that had built up after the
and thus needed to import more in the second half. On top of higher fleet growth relative to tonnage demand increase. The US economy, buoyed by its comparative advantage of low- Financial Crisis.
this, a remarkable recovery in grain shipments from the US and
Black Sea created a significant contribution to tonnage demand LNG IN 2013: CONTINUING TO OUTPERFORM
for medium size tonnage. The LNG shipping market remained one of the very few seg-
ments in the shipping industry where owners made money
ANNUAL GROWTH IN REAL GDP WORLD SEABORNE TRADE AND ECONOMIC GROWTH 1970-2013
For the full year, our weighted dry bulk index rose from $9,400 throughout the whole year in 2013. A combination of very little
PERCENTAGE CHANGE FROM PREVIOUS YEAR
per day in 2012 to $12,800 per day for 2013, a rise of 34 per- new liquefaction capacity coming on stream, continued low
Jan 2013 Jan 2014 Jan 2014 Index 1970=100
cent. The largest increase came in the Capesize sector, where production at some liquefaction facilities and reduced transport
Forecast Actual Forecast 500 World output
average earnings rose from $9,800 per day in 2012 to $16,600 distance resulted in a status quo for shipping demand growth. 2013 2013 2014 450 Seaborne dry trade
in 2013, a rise of 69 percent. Panamaxes obtained $9,500 per The high ordering activity in the previous two years started to USA 2.0 1.9 2.8
400 Seaborne oil trade
day against a meager $8,100 the year before, still a 17 percent impact upon fleet growth towards the end of 2013, causing a Japan 1.2 1.7 1.7
Euro area -0.2 -0.4 1.0 350
rise. For Supramax tonnage, average earnings increased less modest increase in average fleet capacity, thereby contribut- C. and E. Europe 2.4 2.5 2.8
than 10 percent or, more precisely, from $9,400 to $10,300 ing to a decline in the utilization rate. Short-term rates thus fell Russia 3.7 1.5 2.0 300
per day. The improvement in the Handy sector was even more from $125,000 in 2012 to $98,000 per day in 2013. China 8.2 7.7 7.5 250
India 5.9 4.4 5.4
moderate, with a daily rate rise to $8,200 for 2013 set against ASEAN-5 5.5 5.0 5.1
200
$7,600 in 2012. LPG IN 2013: OWNERS WINNING STREAK CONTINUING M. East and N. Africa 3.4 2.4 3.3 150
AND PICKING UP STEAM Sub-Saharan Africa 5.8 5.1 6.1 100
L. America 3.6 2.6 3.0
CONTAINERS IN 2013: DOWNWARD PRESSURE PERSISTS The LPG shipping market registered its third consecutive year World 3.5 3.0 3.7 50
71 73 75 77 79 81 83 85 87 89 91 93 95 97 99 01 03 05 07 09 11 13
The container ship market was characterized by continued where spot rates for the largest ships, VLGCs, gave the own-
downward pressure on box rates for most of the year. Carriers ers a healthy return on invested capital. Preliminary data sug- Source: IMF
16 THE SHIPPING MARKET ENVIRONMENT THE OFFSHORE SUPPORT VESSEL (OSV) MARKET (FROM RS PLATOU ASAS ANNUAL REPORT 2014) 17
It must, however, be noted that many of the new floaters enter- in South East Asia, an increase of nearly 20 percent compared The scrapping/removal of AHTS vessels picked up in 2013 and AHTS FLEET UTILIZATION IS EXPECTED TO CLIMB
ing the North Sea are both Dynamically Positioned (DP) and to 2012. we recorded 16 vessels scrapped, representing just below 1 per- The estimated global AHTS utilization (>10,000bhp) is expect-
conventionally moored. These rigs tend to have a lower AHTS cent of the total fleet. Scrapping/removals remains therefore in- ed to tighten in 2014 and 2015. The different AHTS vessel size
intensity. Offshore construction activity, as a result of increased Jackup demand, which is a main driver for such tonnage, has significant, despite the aging fleet and increasing focus on vessel categories will, however, be exposed to the expected growth in
upstream investments and new projects being sanctioned, will also grown considerably in South East Asia, where many of the age and specification. Only two PSVs were recorded scrapped varying degrees.
also generate further seasonal demand for the AHTS vessels in vessels are located. Moreover, these assets are likely to see a fur- in 2013.
the period 2014-15. ther demand boost as they will be required to service the more The prospects for medium-sized AHTS vessels seem very good,
than 130 new jackups, which according to the orderbook, will With this in mind, and if the trends continue, we can expect 170- as the renewal of the jackup fleet will continue in the period 2014-
THE ARCTIC POTENTIAL enter service in the period 2014-16. Generally speaking, the 180 PSVs to be delivered in 2014/15. In addition, 60-70 smaller 15, and further floating production units will enter service. At the
AHTS demand (but also PSV demand) is expected to receive new jackups are larger than before and will also require larger AHTS vessels (<10,000bhp) are likely to be launched. In other same time the number of vessels on order for this asset class is
a significant boost from increasing offshore activity in the oil service vessels. words we expect the OSV fleet to grow by 7-9 percent in both relatively low and we therefore expect utilization to keep rising in
and gas basins of the Arctic. Due to the remote nature of the 2014 and 2015. The current AHTS orderbook (>10,000bhp) is the period 2014-15. However, the larger AHTS vessels, which are
region and Arctic-specific challenges, the vessel intensity per rig At the same time, medium-sized AHTS vessels are being uti- indicating that 35 units will be delivered in 2014, with nine more mostly in service with conventionally moored floaters, may face
is much higher than in other regions. Past experience from the lized for tanker assist duties in connection with floating produc- following in 2015. Given the above trends in delays and scrap- some headwind due to a softer floater market. This may lead to
Cairn Greenland campaigns indicates that each rig operating in tion units. The increasing use of FPSOs and subsea solutions for ping/removals, we expect the total AHTS fleet will probably increased substitution through the asset classes and a more mod-
Greenland will require three suitably sized and specified AHTS deepwater developments is driving demand for this segment. grow by close to 4-5 percent in 2014 and 2015. est increase in day rates for the mid-size AHTS vessels.
vessels for ice management. Due to the challenges in the Arctic, We expect the FP fleet to expand by 5 percent in 2014 and 6
charterers will generally require top-end tonnage, which will, in percent in 2015. THE OSV MARKET IS FAIRLY BALANCED Smaller sized AHTS vessels are not seen to have the same demand
most cases, be sourced from the North Sea market. The global OSV market balance is expected to remain stable drivers in place. These vessels are often too small, for example, to
FLEET GROWTH MITIGATED BY DELAYS through 2014 and 2015. However, some regional variations are support the new and larger jackups that are being delivered. At
Although the timing of offshore activity in Arctic basins can be Excessive supply growth, especially of the PSV fleet, has been expected, due to local regulations and content requirements. The the same time this asset class is meeting increased competition
challenging to estimate, some Arctic campaigns for 2014 and the concern of many OSV owners and investors. These con- main driver of demand will still be the large number of new UDW from PSVs and therefore we expect day rates to remain largely
2015 have been booked already. The Exxon-Rosneft campaign cerns are based on the considerable PSV orderbook. Last year floaters entering service through 2014 and 2015. The new UDW unchanged in 2014 and 2015.
in the Kara Sea will run in both 2014 and 2015. Other Russian (2013), for example, 229 PSVs of various sizes were scheduled drillships, are likely to be serviced by larger sized DP II PSVs. Oil
projects are also planned, but new Greenland campaigns will for delivery. Vessel deliveries from yards were, however, exten- and gas companies safety concerns are also driving demand for The North Sea AHTS market balance is expected to tighten con-
probably not occur before 2015. AHTS vessels representing sively delayed. high specification modern units. Such vessels are likely to com- siderably in 2014 and 2015. As mentioned earlier, Arctic explo-
nearly 15 percent of the North Sea fleet are already booked for mand a premium in contract terms. ration campaigns will absorb considerable tonnage in 2014 and
Arctic activity in 2014. Inexperience, especially at new Asian yards and especially in the 2015. The Exxon-Rosneft campaign alone will absorb nearly 10
final construction stages, is cited as the main reason for delays. In the North Sea, the PSV market is expected to tighten due to percent of the North Sea AHTS fleet. Day rates are likely to re-
NEW JACKUPS AND FPSOS DRIVING MEDIUM-SIZED Furthermore, anecdotal evidence suggests that labor rotation at continued demand growth emanating from increases in rigs on bound to previous highs, and as the increases in activity are during
AHTS DEMAND yards is high, thus preventing many yards from progressing along contract and a slowdown in PSV fleet growth. Increasing de- the summer season, the market is likely to become more seasonal.
As with the North Sea, parts of the global AHTS market are the learning curve at the desired rate. The latest quarter is, how- mand in Arctic regions will add to demand in 2014 and 2015.
also emerging from cyclical lows. Term rates for medium- ever, showing a rise in deliveries. If this is an actual lift in produc- Relocation of vessels to the North Sea may be a risk to this Sven Ziegler
sized tonnage (e.g. 12,000bhp) averaged USD 22,300 in 2013 tivity, then PSV fleet growth could be accelerating further. scenario. RS Platou Offshore Research
18 THE OFFSHORE SUPPORT VESSEL (OSV) MARKET THE OFFSHORE SUPPORT VESSEL (OSV) MARKET 19
PROJECTS PER YEAR
UNCALLED TOTAL COMMITTED UNCALLED TOTAL COMMITTED
PROJECT NAME NO. OF VSLS. ESTABLISHED CURRENCY PROJECT PRICE PAID IN CAPITAL CAPITAL CAPITAL PROJECT NAME NO. OF VSLS. ESTABLISHED CURRENCY PROJECT PRICE PAID IN CAPITAL CAPITAL CAPITAL
PROJECTS ESTABLISHED 2004 PROJECTS ESTABLISHED 2007 CONTINUED
Aries Supply I KS 1 April 2004 NOK 201046770 42300000 15000000 57300000 Southern Chemical DIS 3 July 2007 EUR 88200000 10350000 10000000 20350000
Ross Cape DIS 1 October 2004 USD 17350000 3850000 1000000 4850000 Bovey Offshore Ltd 4 August 2007 USD 43600000 10500000 0 10500000
International Container Ships KS 2 November 2004 USD 66260000 12260000 4150000 16410000 Asian Bulkers DIS 3 October 2007 USD 142875000 49075000 0 49075000
J.B.U OBO I KS 1 December 2004 USD 36580000 7780000 5000000 12780000 Short Sea Bulkers DIS 4 November 2007 EUR 24800000 4550000 4500000 9050000
No. of vessels 5 Total NOK 201046770 42300000 15000000 57300000 Ross Chemical IV DIS 2 November 2007 USD 53000000 18000000 0 18000000
No. of projects 4 Total USD 120190000 23890000 10150000 34040000 Dongguan Chemical Tankers DIS 1 November 2007 USD 32750000 7150000 7000000 14150000
Total EUR - - - - Pantheon Chemical DIS 1 November 2007 EUR 31000000 5160000 5500000 10660000
No. of vessels 43 Total NOK 0 0 0 0
Project price USD 150018898 30165964 12375519 42541484 No. of projects 18 Total USD 799635000 206635000 55125000 261760000
Total EUR 144000000 20060000 20000000 40060000
PROJECTS ESTABLISHED 2005 Project price USD 996467765 234054898 82462884 316517782
Eidsiva Trucker KS 1 February 2005 EUR 10900000 2470000 2000000 4470000
Mount Faber KS 4 April 2005 USD 80900000 13325000 0 13325000 PROJECTS ESTABLISHED 2008
Norwegian Shipping DIS April 2005 USD 19200000 13700000 5500000 19200000
Marineline Chemical DIS 3 February 2008 USD 79850000 12680000 0 12680000
Goliat Roro KS 1 May 2005 EUR 9000000 1960000 1500000 3460000
Edda Accommodation DIS 1 February 2008 EUR 126500000 44000000 12000000 56000000
Global Cable KS 2 June 2005 USD 12320000 2870000 3000000 5870000
NFC AHTS Ltd. 2 March 2008 USD 70520000 24600000 0 24600000
Bergshav Chemical KS 2 July 2005 EUR 20470000 4470000 2200000 6670000
Bukit Timah Offshore DIS 3 May 2008 USD 125269250 29269250 0 29269250
Volstad Supply I KS 1 August 2005 NOK 262620000 75050000 20000000 95050000
Mountbatten Offshore DIS 2 May 2008 USD 109134000 25134000 0 25134000
Scandinavian Bulkers KS 5 September 2005 EUR 28926000 6776000 6000000 12776000
Bovey Offshore Ltd. 4 May 2008 USD 42650000 14475000 0 14475000
Volstad Supply II KS 1 November 2005 NOK 262620000 75050000 20000000 95050000
Semakau Producer DIS 1 July 2008 USD 20400000 20400000 0 20400000
Agder Ocean Reefer KS 3 November 2005 USD 27750000 6150000 0 6150000
European Venture III DIS 1 July 2008 USD 17720000 5720000 5000000 10720000
Celine I OBO DIS 1 November 2005 USD 12470000 1970000 3000000 4970000
Golden Kamsar DIS 1 August 2008 USD 67294000 17294000 12500000 29794000
Cement Ship II DIS 1 November 2005 USD 19800000 5575000 4000000 9575000
Jimbaran DIS 1 September 2008 USD 54200000 9035000 0 9035000
Multipurpose Bulkers DIS 4 December 2005 EUR 27145000 4695000 4500000 9195000
Seminyak DIS 2 September 2008 USD 108963000 18618000 14000000 32618000
SBS Tempest KS 1 December 2005 NOK 134300000 29300000 10000000 39300000
JBUS Offshore DIS 2 September 2008 USD 60000000 27000000 0 27000000
SBS Torrent KS 1 December 2005 NOK 141175000 31975000 10000000 41975000
Oceanlink Reefer III DIS 1 September 2008 USD 20200000 5200000 5000000 10200000
Green Pacific DIS 3 December 2005 USD 30590000 6090000 8000000 14090000
Agder Ocean Reefer III AS 7 October 2008 USD 53500000 10000000 7000000 17000000
No. of vessels 31 Total NOK 800715000 211375000 60000000 271375000
No. of vessels 31 Total NOK 0 0 0 0
No. of projects 16 Total USD 203030000 49680000 23500000 73180000
No. of projects 14 Total USD 829700250 219425250 43500000 262925250
Total EUR 96441000 20371000 16200000 36571000
Total EUR 126500000 44000000 12000000 56000000
Project price USD 1004270250 280145250 60060000 340205250
Project price USD 447167112 107807795 52940994 160748789
Tioman Offshore DIS July 2007 USD 10 000 000 12 050 000 10 % 2011 0
Shanghai Bulkers DIS August 2010 USD 1 670 000 2 690 000 55 % 2011 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Volstad Supply I DIS August 2005 NOK 40 000 000 130 000 000 27 % 2011
Volstad Supply II DIS November 2005 NOK 55 250 000 200 000 000 38 % 2011
Cement Ship II DIS November 2005 USD 5 575 000 12 640 000 19 % 2013
Norwegian Shipping II DIS April 2005 USD 5 200 000 7 196 500 8% 2013 ACCUMULATED CAPITAL - USD TOTAL PROJECTS BY EMPLOYMENT
Vestland Marine DIS January 2012 USD 1 600 000 2 170 000 30 % 2013
Mount Faber KS April 2005 USD 13 004 000 36 585 000 32 % 2013 Mill
Panda Chemical Oil DIS June 2006 USD 5 845 000 1 565 000 -53 % 2013 4,000 Paid in capital Funds 3%
Global Cable II DIS January 2006 USD 9 400 000 27 058 101 21 % 2014 Asset play 6%
SBS Typhoon KS January 2006 NOK 36 650 000 106 550 000 20 % 2014 3,500 Total project price
Marineline Chemical DIS February 2008 USD 18 350 000 - -100%*) 2014 Uncalled capital Timecharter 12%
3,000 Bareboat 79%
2,000
1,500
1,000
500
0
22 PROJECTS SUMMARY
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
PROJECTS SUMMARY 23
PROJECTS ESTIMATED RETURNS
ACCUMULATED
DISTRIBUTIONS ESTIMATED ESTIMATED ESTIMATED
ACCUMULATED IN % OF SHARE PRICE IRR SELLER IRR FOR
PROJECTS ESTABLISHED PAID IN CAPITAL DISTRIBUTIONS PAID IN CAPITAL PER 1% PER 1% BUYER
Asian Bulkers DIS October 2007 USD 48850000 - 0 % 30000 -44 % N/A
Atlantic Guardian DIS February 2007 USD 8100000 4100000 51 % N/A N/A N/A
Bovey Offshore Ltd August 2007 USD 21375000 31850000 149 % 186750 16 % 16 %
Bukit Timah Offshore DIS May 2008 USD 29269000 21250000 73 % 330000 13 % 16 %
Dongguan Chemical Tankers DIS December 2007 USD 7150000 4225000 59 % 42500 3 % 16 %
European Venture DIS April 2006 USD 9965000 8090000 81 % 188000 17 % 17.5 %
European Venture III DIS July 2008 USD 5720000 9300000 163 % 31000 23 % 30 %
Feeder Container Vessel DIS May 2013 USD 4300000 - 0 % 43000 0 % N/A
Golden Kamsar DIS August 2008 USD 23694000 2500000 11 % 219000 1 % 15 %
High Yield Shipping DIS April 2014 USD 6000000 0 % 60000 0 % 10 %
Industrial Shipping DIS May 2012 USD 5750000 355515 6 % N/A N/A N/A
Med Ethylene DIS May 2007 USD 6275000 6380000 102 % 14750 4 % 24 %
MS Nordstjernen DIS November 2012 NOK 6000000 1915000 32 % 51500 12 % 10 %
RTS Panamax DIS March 2007 USD 4650000 3050000 66 % 0 -15 % N/A
Northern Supply DIS May 2011 USD 2180000 - 0 % 218000 N/A N/A
Norwegian Product DIS November 2006 USD 10115000 5560000 55 % 86000 5 % 30 %
Octavian Bulker DIS September 2010 USD 16000000 1500000 9 % 90250 -7 % 16 %
Orchard Offshore DIS March 2007 USD 7800000 18150000 233 % 11475 18 % 16 %
Panda Chemical Il DIS November 2013 USD 1815000 - 0 % 18150 0 % N/A
Platou Shipinvest I DIS October 2007 USD 47365930 5200000 11 % N/A N/A N/A
Blue Mountain Tankers DIS February 2007 USD 36375000 - 0 % N/A N/A N/A
Saragol Tankers 1 DIS June 2010 USD 17737500 7602300 43 % N/A N/A N/A
Saragol Tankers 2 DIS December 2010 USD 18812500 5920000 31 % N/A N/A N/A
SBS Torrent KS December 2005 NOK 31975000 40700000 127 % 610000 19 % 15 %
Seminyak DIS September 2008 USD 32618000 - 0 % 0 N/A N/A
Sentosa Offshore DIS July 2007 USD 8300000 12865000 155 % 75000 16 % 16 %
Singapore Offshore DIS August 2006 USD 7850000 10004041 127 % 75000 16 % 16 %
Singapore Supply DIS March 2012 USD 10240000 - 0 % 102400 N/A N/A
Southern Chemical DIS July 2007 EUR 16350000 1540000 9 % 54000 -16 % 20 %
Sudong Offshore DIS October 2013 USD 8200000 350000 4 % 87000 15 % 15 %
Ullswater Subsea DIS May 2007 USD 12820000 9438400 74 % 158500 13 % 15 %
Vestland Marine Seismic DIS February 2014 USD 1550000 100000 6 % 15500 20 % 27 %
Established: October 2007 Estimated share value per 1%: USD 30 000 Latent tax benefit vessel pr 1%: USD 0 Established: January 2007 Estimated share value per 1%: USD 75 500 Latent tax liability vessel pr 1%: USD 0
Paid in capital: USD 48 000 000 Last reported sale per 1%: N/A Latent tax benefit debt pr. 1%: USD 0 Paid in capital: USD 8 100 000 Last reported sale pr 1%: N/A Latent tax liability debt pr. 1%: USD 1 000
Uncalled capital: USD 0 Estimated IRR Buyer: N/A Uncalled capital: USD 7 000 000 Estimated IRR Buyer: N/A
Accumulated dividends: USD 0 Estimated IRR Seller: N/A Accumulated dividends: USD 4 100 000 Estimated IRR Seller: N/A
26 PROJECTS PROJECTS 27
BLUE MOUNTAIN TANKERS DIS BOVEY OFFSHORE LTD.
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Axel M. Aas, Corporate Manager: Eva Lise Bjerke KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Morten Astrup, Corporate Manager: Benjamin Ryeng-Hansen
Established: February 2007 Estimated share value per 1%: N/A Latent tax benefit vessel pr 1%: N/A Established: August 2007 / May 2008 Estimated share value per 1%: USD 186 750 Latent tax benefit vessel pr 1%: N/A
Paid in capital: USD 36 375 000 Last reported sale per 1%: N/A Latent tax benefit debt pr. 1%: N/A Paid in capital: USD 21 375 000 Last reported sale per 1%: N/A Latent tax benefit debt pr. 1%: N/A
Uncalled capital: USD 7 000 000 Estimated IRR Buyer: N/A Uncalled capital: USD 0 Estimated IRR Buyer: 16%
Accumulated dividends: USD 0 Estimated IRR Seller: N/A Accumulated dividends: USD 31 850 000 Estimated IRR Seller: 16%
THE VESSELS
THE VESSELS
Vessel names: Topaz Glory Topaz Legend Topaz Jurong Topaz Johor
Vessel name: Oceanic Indigo Oceanic Crimson Oceanic Coral Oceanic Cerise Oceanic Cyan Oceanic Cobalt Type: AHTS AHTS AHTS AHTS
Type: IMOII /III product tankers IMOII /III product tankers IMOII /III product tankers IMOII /III product tankers IMOII /III product tankers IMOII /III product tankers BHP: 5 150 5 150 5 150 5 150
DWT: 11 000 13 000 13 000 13 000 13 000 13 000 Speed: 13 knots 13 knots 13 knots 13 knots
Capacity (cbm): 13 450 13 450 13 450 13 450 13 450 Yard: Funing Shipyard, China Funing Shipyard, China Funing Shipyard, China Funing Shipyard, China
Yard: Penglai Bohai Shipyard Co. Ltd, China Jinse Co. Ltd,. Korea Jinse Co. Ltd,. Korea Jinse Co. Ltd,. Korea Jinse Co. Ltd,. Korea Jinse Co. Ltd,. Korea Built: 2010 2010 2010 2010
Delivery: April 2011 March 2008 April 08 May 2008 June 2008 July 2008 Class: ABS ABS ABS ABS
Class: ABS ABS ABS ABS ABS ABS Flag: Marshall Islands Marshall Islands Marshall Islands Marshall Islands
Flag: Liberia Liberia Liberia Liberia Liberia
COMMERCIAL DETAILS
Residual value end CP: USD 24 000 000 28 000 000 32 000 000
CASHFLOW 2014E Estimated IRR: 10% 16% 22%
Operating revenue N/A
Operating expenses N/A CASHFLOW 2013 2014E 2015E 2016E 2017E
Net operating cashflow N/A
Operating revenue 11 301 000 7 975 000 7 665 000 7 665 000 5 020 000
Interest earned N/A Operating expenses -410 000 -354 000 -357 000 -361 000 -182 000
Interest expenses N/A Net operating cashflow 10 891 000 7 621 000 7 308 000 7 304 000 4 838 000
Drawdown/ Repayment long term debt N/A
Net financial items N/A Interest earned 2 000 - - - -
Net projected cash flow Interest expenses -1 236 000 -805 000 -832 000 -810 000 -307 000
Estimated dividend N/A Drawdown/ Repayment long term debt -16 293 000 -9 075 000 -2 912 000 -2 912 000 -16 238 000
Net financial items -17 527 000 -9 880 000 -3 744 000 -3 722 000 -16 545 000
Purchase/sale of vessel 21 578 000,00 10 750 000,00 - - 28 000 000
PROJECT BALANCE 01.07.2014 Net project cashflow 14 942 000 8 491 000 3 564 000 3 582 000 16 293 000
Estimated dividend 14 400 000 11 350 000 3 650 000 3 550 000 18 343 000
Cash N/A
Implicit vessel value N/A PROJECT BALANCE 01.07.2014
Total assets N/A
Cash 2 218 000
Outstanding debt N/A
Impicit vessel value 40 075 000
Short term payables N/A
Total assets 42 293 000
Sellers credit N/A
Outstanding debt 23 518 000
Total outstanding debt N/A
Short term payables 100 000
Estimated project value N/A
Sellers credit -
Total outstanding debt 23 618 000
Estimated project value 18 675 000
FINANCING COMMENTS
Funing 4 vsl The charterer has purchase options after year 7 for the vessels.
Mortgage: USD 36 360 000 All hire is being paid promptly.
Balloon: USD 20 424 000 The company sold the vessel Rogelio Tide (formerly known as Lewek Labrador) on delivery in 2011.
Term: 5 years The company sold the vessels Lewek Lion and Lewek Leopard in 2013.
Quarterly instalments: USD 1-8: USD 900 000 The company sold the vessel Lewek Lynx in 2014.
9-20: USD 728 000
Interest mortgage: Pre-del: Libor + 1.50%
Post-del: Libor + 2.00%
28 PROJECTS PROJECTS 29
BUKIT TIMAH OFFSHORE DIS CIT-GRIEG
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Benjamin Ryeng-Hansen KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Benjamin Ryeng Hansen
Established: May 2008 Estimated share value per 1%: USD 330 000 Latent tax liability vessel pr 1%: USD 120 200 Established: May 2014
Paid in capital: USD 29 269 250 Last reported sale per 1%: May 2014 330 000 Latent tax liability debt pr. 1%: USD 6 000 Paid in capital: USD 49 000 000
Uncalled capital: USD 0 Estimated IRR Buyer: 16% Uncalled capital: USD 0
Accumulated dividends: USD 21 250 000 Estimated IRR Seller: 13% Accumulated dividends: USD 0
COMMERCIAL DETAILS
COMMERCIAL DETAILS
Corporate management: RS Platou Project Finance AS
Disponent owner: Scantank AS Corporate management: RS Platou Project Finance AS
Project price: USD 125 269 250 Bareboat charterer: Grieg Shipping II AS
Paid in capital: USD 29 269 250
Uncalled capital: USD 0
BB rate: USD 15 850 pd USD 15 850 pd USD 15 850
Bareboat charter: 10 years 10 years 10 years
Bareboat charterer: Newcruz Offshore Marine Pte Ltd guaranteed by Swiber Holdings Ltd
Commencement of CP: 27.08.2009 06.01.2010 23.09.2010 RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH
Expiry of CP: 27.08.2019 06.01.2020 23.09.2020
Residual value end CP: USD 48 000 000 60 000 000 72 000 000
Estimated IRR: 13% 16% 19% CASHFLOW 2013 2014E
CASHFLOW 2013 2014E 2015E 2016E 2017E
Operating revenue 17 356 000 17 356 000 17 356 000 17 403 000 17 356 000
Operating expenses -267 000 -267 000 -270 000 -272 000 -275 000
Net operating cashflow 17 089 000 17 089 000 17 086 000 17 131 000 17 081 000
FINANCING COMMENTS
Mortgage: USD 96 000 000 The Charterer has purchase options from after year 5 to year 10. FINANCING COMMENTS
Sellers credit: USD 6 000 000 Latest valuation of the vessels was USD 33-34 million meaning that we are within the minimum value clause.
Balloon: USD 20 250 000
Term: 10 years
Quarterly instalments: 1-20: USD 1 800 000
21-40: USD 1 987 500
Interest mortgage: Average of 8.3213% including 3.625% margin
Interest sellers credit: 3.50%
30 PROJECTS PROJECTS 31
DONGGUAN CHEMICAL TANKERS DIS EUROPEAN VENTURE DIS
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Axel M. Aas, Corporate Manager: Benjamin Ryeng-Hansen KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Erik Kristian Andresen
Established: December 2007 Estimated share value per 1%: USD 42 500 Latent tax liability vessel pr 1%: USD 7 000 Established: April 2006 Estimated share value per 1 %: USD 188 000 Latent tax benefit vessel pr 1%: N/A
Paid in capital: USD 7 150 000 Last reported sale per 1%: May 2013 USD 42 000 Latent tax liability debt pr. 1%: USD 900 Paid in capital USD 9 965 000 Last reported sale pr 1 %: USD 115 000 Latent tax benefit debt pr. 1%: N/A
Uncalled capital: USD 3 500 000 Estimated IRR Buyer: 16% Uncalled capital: USD 5 000 000 Estimated IRR Buyer : 17.5%
Accumulated dividends: USD 4 225 000 Estimated IRR Seller: 3% Accumulated dividends: USD 8 090 000 Estimated IRR Seller : 16.9%
Vessel name: Toreach Pioneer Vessels name: GSP Queen GSP King
Type: Chemical Tanker IMO II Type: PSV, 2 x 3978 BHP, FIFI1, DP2 PSV, 2 x 5440 BHP, FIFI1, DP2
DWT: 8 200 DWT: 1 800 2 000
Speed: 12 knots Speed: 14 knots 14 knots
Yard: Zhejiang Haifeng Yard: Jaya Yard, Singapore Jaya Yard, Singapore
Shipbuilding Co. Ltd, China Built: 2006 2005
Built: 2008 Class: ABS ABS
Class: CCS Flag: Gibraltar Gibraltar
Flag: Marshall Islands
COMMERCIAL DETAILS
COMMERCIAL DETAILS
Corporate management: RS Platou Project Finance AS Uncalled capital: USD 5 000 000
Disponent owner: North Sea Shipping AS Commencement of CP: June 2006
Corporate management: RS Platou Project Finance AS Bareboat charter: 8 years
Project price: USD 46 325 000 Expiry of CP: June 2015
Disponent owner: Atlantica Shipping AS Bareboat charterer: Toreach Marine Pte Ltd guaranteed by Dongguan
Paid in capital: USD 9 965 000
Project price: USD 15 324 000 Fenghai Ocean Shipping Co Ltd
Paid in capital: USD 7 150 000 Commencement of CP: 15.10.2008
GSP Queen GSP King
Uncalled capital: USD 3 500 000 Expiry of CP: 15.10.2016
BB rate: USD 5 250 pd BB rate per day: Year 1-5 USD 8 715 Year 1-5 USD 9 330
Year 6-8 USD 7 000 Year 6-8 USD 8 000
Bareboat charter: 8 years 8 years
RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH Bareboat charterer: Grup Servicii Grup Servicii
Residual value end CP: 6 500 000 Petroliere S.A. Petroliere S.A
Estimated IRR: 16%
RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH
CASHFLOW 2013 2014E 2015E 2016E Residual value end CP: USD 26 000 000
Estimated IRR: 17.5%
Operating revenue 1 916 000 1 916 000 1 916 000 1 433 000
Operating expenses -89 000 -98 000 -100 000 -101 000 CASHFLOW 2014E 2015E
Net operating cashflow 1 827 000 1 818 000 1 816 000 1 332 000
Operating revenue 5 587 000 2 296 000
Interest earned - 1 000 1 000 1 000 Operating expenses -183 000 -235 000
Interest expenses -260 000 -223 000 -185 000 -136 000 Net operating cashflow 5 404 000 2 061 000
Drawdown/ Repayment long term debt -720 000 -945 000 -720 000 -3 660 000
Net financial items -980 000 -1 167 000 -904 000 -3 795 000 Interest earned 0 0
Sale of vessel - - - 6 500 000 Interest expenses -287 000 -122 000
Net project cashflow 847 000 651 000 912 000 4 037 000 Drawdown/ Repayment long term debt -2 860 000 -12 050 000
Estimated dividend 400 000 1 150 000 925 000 4 384 000 Net financial items -3 147 000 -12 172 000
Purchase / sale of vessel 0 26 000 000
PROJECT BALANCE 01.07.2014 Net Projected Cashflow 2 257 000 15 889 000
Estimated dividend 2 000 000 18 661 000
Cash 384 000
Implicit vessel value 8 681 000 BALANCE 01.07.2014
Total assets 9 065 000
Outstanding debt 3 940 000 Cash balance 4 862 000
Short term payables 75 000 impicit vessel value 25 638 000
Sellers credit 800 000 Total assets 30 500 000
Total outstanding debt 4 815 000 Outstanding debt 13 480 000
Estimated project value 4 250 000 Shor term payables 20 000
Sellers credit 0
FINANCING COMMENTS Total outstanding debt 13 500 000
Estimated project value 17 000 000
Mortgage: USD 9 000 000 The Charterer has purchase options from after year 3 to year 8.
Sellers credit: USD 800 000 Put option at the end of the charter party. FINANCING COMMENTS
Balloon: USD 3 240 000 The Charterer is paying charter hire in a timely manner. Mortgage: USD 36 360 000 The project is currently beeing restructured. The charter will be lengthened with an additional year.
Term: 8 years The base case scenario is based on the put option. Balloon: USD 13 480 000 The data has not been updated to reflect the restructuring.
Quarterly instalments: USD 180 000 Term: 8 years
Interest mortgage 20.11.2008-04.05.2012: 6.54% including 1.5% margin Semi-annually instalments: USD 1-16: 1 430 000
Interest mortgage 04.05.2012-04.11.2015: 5.16% including 1.5% margin IInterest: 100% floating
Interest sellers credit: 0.00%
32 PROJECTS PROJECTS 33
EUROPEAN VENTURE III DIS FEEDER CONTAINER VESSEL DIS
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Erik Kristian Andersen KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Axel M. Aas, Corporate Manager: Eva Lise Bjerke
Established: July 2008 Estimated share value per 1%: USD 31 000 Latent tax benefit vessel pr 1%: USD 0 Established: May 2013 Estimated share value per 1%: USD 43 000 Latent tax benefit vessel pr 1%: -USD 4 800
Paid in equity: USD 214 000 Last reported sale pr 1%: Nov. 2011 USD 53 000 Latent tax benefit debt pr. 1%: USD 0 Paid in equity: USD 4 300 000 Last reported sale pr 1%: Latent tax benefit debt pr. 1%: USD 0
Uncalled capital: USD 0 Estimated IRR Buyer: 30% Uncalled capital: USD 0 Estimated IRR Buyer: N/A
Accumulated dividends: USD 9 350 000 Estimated IRR Seller: 23% Accumulated dividends: USD 0 Estimated IRR Seller: 0%
Corporate management: RS Platou Project Finance AS BB rate per day: August 2008 - August 2010 USD 15 100 Corporate management: RS Platou Project Finance AS Expiry of TCP: Round voyage South America of 70-85 days +
Disponent owner: Scantank AS August 2010 - August 2011 USD 11 500 Disponent owner: Atlantica Shipping AS charterers option for 1 further round voyage
Project price: USD 17 750 000 August 2011 - February 2012 USD 10 000 Project price: USD 4 300 000 TC rate per day year: USD 7 200 less 3.75%
Paid in capital: USD 5 720 000 February 2012 - August 2013 USD 7 000 Paid in capital: USD 4 300 000 Charterer: CCNI
Uncalled capital: USD 5 000 000 Bareboat charter: 5 years Uncalled capital: USD 0
Commencement of CP: August 2008 Bareboat charterer: Grup Servicii Petroliere S.A. Commencement of Time Charter Party: 20 April 2014
Expiry of CP: August 2012
RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH
RESIDUAL VALUE SENSITIVITY ON IRR BASE CASE
Residual value end CP: 3 200 000 6 000 000 10 000 000
Residual value end CP: USD 6 000 000 Estimated IRR: 2% 30% 62%
Estimated IRR: 23%
CASHFLOW 2013 2014E 2015E 2016E
CASHFLOW 2014E
Operating revenue 1 348 000 2 542 000 3 226 000 1 216 000
Operating revenue 473 000 Operating expenses -2 043 000 -2 650 000 -2 394 000 -790 000
Operating expenses -108 000 Net operating cashflow -695 000 -108 000 832 000 426 000
Net operating cashflow 365 000
Purchase of vessel -3 450 000
Interest earned 0 Sale of vessel 0 0 6 000 000
Interest expenses 0 Interest earned 0 0 0 0
Drawdown/ Repayment long term debt 0 Interest expenses 0 0 0 0
Net financial items 0 Paid in capital 4 300 000 0 0 0
Purchase / sale of vessel 6 000 000 Drawdown/ Repayment long term debt 0 0 0 0
Net Projected Cashflow 6 365 000 Net financial items 4 300 000 0 0 0
Estimated dividend 5 672 000 Net projected cash flow 155 000 -108 000 832 000 6 426 000
Estimated dividend 0 0 -500 000 -7 300 000
BALANCE 01.07.2014
PROJECT BALANCE 01.07.2014
Cash balance 401 000
Impicit vessel value 2 699 000 Cash 40 000
Total assets 3 100 000 Impicit vessel value 4 745 000
Outstanding debt 0 Total assets 4 785 000
Short term payables 0 Outstanding debt 0
Sellers creditt 0 Short term payables 485 000
Total outstanding debt 0 Sellers credit 0
Estimated project value 3 100 000 Total outstanding debt 485 000
Estimated project value 4 300 000
FINANCING COMMENTS
FINANCING COMMENTS
Mortgage: USD 12 000 000 In April 2012 the project was renegotiated with the charterer and it was agreed to reduce the bareboat rate from
Balloon: USD 2 250 000 USD 10.000 pr. day to USD 7.000. It was also agreed to prolonge the bareboat charter period with two years untill Mortgage finance: None The company was incorporated on 8 May 2013 with the purpose of purchasing and operating MV Credo, a 17 year
Term: 5 years the 31st of August 2014. It was also agreed to reduce the purchase obligation from USD 6,550,000 to old feeder container vessel . The vessel was aquired on 10 May 2013. The vessel has since time of delivery been
Quarterly instalments: USD 1-4 825 000 USD 6,000,000. fixed on time charter parties to various charterers.
USD 5-8 787 500 The vessel is expected to be redelivered in September 2014.
USD 9-12 325 000
USD 13-20 250 000
Interest: 4.28% Fixed to 12.08.2013
34 PROJECTS PROJECTS 35
GOLDEN KAMSAR DIS HIGH YIELD SHIPPING DIS
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Eva Lise Bjerke KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Axel M. Aas, Corporate Manager: Benjamin Ryeng-Hansen
Established: April 2008 Estimated share value per 1% USD 218 000 Latent tax benefit vessel pr 1%: - USD 8 400 Established: April 2014 Estimated share value per 1%: USD 60 000 Latent tax benefit vessel pr 1%: N/A
Paid in capital: USD 23 694 000 Last reported sale pr 1% November 2013 USD 178 500 Latent tax benefit debt pr. 1%: - USD 1 300 Paid in capital: USD 6 000 000 Last reported sale pr 1%: N/A Latent tax benefit debt pr. 1%: N/A
Uncalled capital: USD 11 300 000 Estimated IRR Buyer: 15% Uncalled capital: USD - Estimated IRR Buyer: 10%
Accumulated dividends: USD 2 500 000 Estimated IRR Seller: 1% Accumulated dividends: USD - Estimated IRR Seller: 0%
RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH
Residual value end CP: USD 15 000 000 20 000 000 25 000 000 Residual value end CP: 5 500 000
Estimated IRR: 12% 15% 18% Estimated IRR: 14%
FINANCING COMMENTS
Mortgage: USD 36 000 000 As a result of a major drop in ship values, we have negotiated the purchase price down from USD 65,340,000 to
Balloon: USD 21 500 000 USD 57,500,000 with the seller.
Term: 4.5 years and final maturity date 31/12/2014 The charterer has purchase options from year 3 and onwards.
Quarterly instalments: USD year 1-2: 875,000 year 3-5: 750,000 USD 6,400,000 has been called upon from the partners.
Interest: The interest rate is fixed for the entire term of the loan (incl. margin) 6.55%
The interest swap agreement expires on 31/12/2014.
The cashflow assumes a refinancing of the loan with same repayment profile and maturity date in April 2020
and interest terms LIBOR + a margin of 3.0%.
36 PROJECTS PROJECTS 37
INDUSTRIAL SHIPPING DIS MARINELINE CHEMICAL DIS
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Axel M. Aas, Corporate Manager: Erik Kristian Andresen KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Erik Kristian Andresen
Established: May 2012 Estimated share value per 1 %: EUR - Latent tax benefit vessel pr 1%: N/A Established: February 2008 Estimated share value per 1%: USD 0 Latent tax benefit vessel pr 1%: USD 74 200
Paid in capital: EUR 5 394 485 Last reported sale per 1%: N/A Latent tax benefit debt pr. 1%: N/A Paid in capital: USD 18 710 000 Last reported sale pr 1%: N/A Latent tax benefit debt pr. 1%: USD 0
Uncalled capital: EUR - Estimated IRR Buyer: N/A Uncalled capital: USD 0 Estimated IRR Buyer: 0%
Accumulated dividends: EUR 355 515 Estimated IRR Seller: N/A Accumulated dividends: USD 0 Estimated IRR Seller: 0%
THE VESSELS
THE VESSELS
Vessel names: Trans Forza / Trans Volante Trans Sonoro / Trans Lontano / Trans Distinto Trans Brilliante Trans Risoluto
Vessels name: SOLD Royal Emerald SOLD Royal Crystal 7 SOLD Royal Aqua
Type: Chemical Tankers IMO II Chemical Tankers IMO II Chemical Tankers IMO II
Type: MPP Single-decker MPP Single-decker MPP Single-decker MPP Single-decker Dwt 13100 Dwt 13100 Dwt 13100 Dwt
DWT: 4 117 4 110 / 4 135 / 4 160 5 557 4 145 Speed: 14 knots 14 knots 14 knots
Speed: 13 knots 13 knots 13.5 knots 11 knots Yard: South Korea South Korea South Korea
Yard: Severnav S.A, Romania Severnav S.A, Romania Ferus Smith B.V Netherland Bodewes Volharding B.V Netherland Built: 2006 2007 2008
Built: 2000 2000 1997 1997 Class: ABS ABS ABS
Class: GL GL GL GL Flag: Panama Panama Panama
Flag: Gibraltar Gibraltar Gibraltar Gibraltar
Corporate management: RS Platou Project Finance AS BB rate (fixed not including profit split): EUR 1 175 Corporate management: RS Platou Project Finance AS Paid in capital: USD 18 710 000
Disponent owner: RS Platou Asset Management AS Bareboat charter: 12 + 2 years Disponent owner: Scantank AS Uncalled capital: USD 0
Project price: EUR 25 950 000 Bareboat charterer (guaranteed by): TransAtlantic Short Sea Bulk AB Project price: USD 79 850 000
Paid in capital : EUR 5 750 000 Commencement of CP: 2012
Uncalled capital: EUR 0 Expiry of CP: 2024 Royal Emerald Royal Crystal 7 Royal Aqua
CASHFLOW 2014E 2015E 2016E RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH
Operating revenue 0 0 0 Enbloc residual value end CP:
Operating expenses 0 0 0 Estimated IRR:
Net operating cashflow 0 0 0
CASHFLOW 2014E
Interest earned 0 0 0 Operating revenue 0
Interest expenses 0 0 0 Operating expenses 0
Drawdown/ Repayment long term debt 0 0 0 Net operating cashflow 0
Net financial items 0 0 0
Purchase/sale of vessel 0 0 0 Interest earned 0
Net project cashflow 0 0 0 Interest expenses 0
Estimated dividend 0 0 0 Drawdown/ Repayment long term debt 0
Net financial items 0
PROJECT BALANCE (ESTIMATE) 01.07.2014 Purchase / sale of vessel 0
Net Projected Cashflow 0
Cash 319 000 Estimated dividend 0
Implicit vessel value 16 906 000
PROJECT BALANCE 01.07.2014
Total assets 17 225 000
Outstanding debt 17 225 000 Cash balance 0
Short term payables 0 Implicit vessel value 0
Sellers credit - Total assets 0
Total outstanding debt 17 225 000 Outstanding debt 0
Estimated project value 0 Short term payables 0
Sellers credit 0
Total outstanding debt 0
FINANCING COMMENTS
Estimated project value 0
1st. 2nd. The project is currently being restructured. FINANCING COMMENTS
Mortgage: EUR 17 700 000 2 000 000
Balloon: EUR 11 000 000 - The vessels have been sold.
Term: 5 years 12 years
Quarterly instalments: EUR 1 - 12: EUR 325 000 1-20: EUR 0
13 - 20: EUR 350 000 21-36: EUR 50 000
37-48: EUR 100 000
Interest mortgage: 6,50 % 7,00 %
38 PROJECTS PROJECTS 39
MED ETHYLENE DIS MS NORDSTJERNEN DIS
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Axel M. Aas, Corporate Manager: Eva Lise Bjerke KEY FIGURES (date of analysis: 01.07.2013) Project Broker: Axel M. Aas Corporate Manager: Erik Kristian Andresen
Established: May 2007 Estimated share value per 1%: USD 14 750 Latent tax liability vessel pr 1% USD 0 Established: November 2012 Estimated share value per 1%: NOK 51 500 Latent tax benefit vessel pr 1%: NOK 0
Paid in capital: USD 6 275 000 Last reported sale pr 1% ; october 2007 USD 67 000 Latent tax liability debt pr 1% USD 0 Paid in capital: NOK 4 410 000 Last reported sale per 1%: N/A Latent tax benefit debt pr. 1%: NOK 0
Uncalled capital: USD 0 Estimated IRR Buyer: 24% Uncalled capital: NOK 0 Estimated IRR Buyer: 10%
Accumulated dividends: USD 6 380 000 Estimated IRR Seller: 4% Accumulated dividends: NOK 1 915 000 Estimated IRR Seller: 12%
Commencement of CP: September 2007 July 2007 Residual value end CP: NOK 3 000 000
Expiry of CP: September 2014 July 2014 Estimated IRR for buyer: 10%
RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH CASHFLOW 2014E 2015E 2016E 2017E
Residual value end CP:
Operating revenue 1 277 500 1 281 000 1 277 500 945 000
Estimated IRR:
Operating expenses -187 000 -191 000 -195 000 -199 000
Net operating cashflow 1 090 500 1 090 000 1 082 500 746 000
CASHFLOW 2013 2014E
Operating revenue 3 090 000 3 316 000 Interest earned 0 0 0 0
Operating expenses -198 000 -156 000 Interest expenses 0 0 0 0
Net operating cashflow 2 892 000 3 160 000 Drawdown/ Repayment long term debt 0 0 0 0
Purchase / Sale of vessel 0 0 0 0
Sale of vessels 2 963 000 0 Net financial items 0 0 0 0
Interest earned 0 0 Net projected cashflow 1 090 500 1 090 000 1 082 500 746 000
Interest expenses -525 000 0 Estimated dividend 1 090 000 1 090 000 1 085 000 3 784 000
Drawdown/ Repayment long term debt -5 000 000 0
Net financial items -5 525 000 0
Net projected cash flo 330 000 3 160 000 PROJECT BALANCE 01.07.2014
Estimated dividend -560 000 -3 500 000
Cash 40 000
PROJECT BALANCE 01.07.2014 Implicit vessel value 5 110 000
Total assets 5 150 000
Cash 554 000 Outstanding debt 0
Implicit vessel value 9 195 000 Short term payables 0
Total assets 9 749 000 Charteres credit 0
Outstanding debt 3 779 000 Total outstanding debt 0
Short term payables 70 000 Estimated Project value 5 150 000
Sellers credit 0
Total outstanding debt 3 849 000
Estimated project value 5 900 000 FINANCING COMMENTS
FINANCING COMMENTS The charterer has an purchase obligation at NOK 3,000,000 at the end of the charter party.
Mortgage: USD 21 600 000 Due to financial difficulties charterer failed to fulfil his obligations under the charter parties as from July 2013. The
Balloon: USD 4 500 000 parties came to an agreement where the charter parties were cancelled and the vessels were sold to a recycling
Term: 7 yard in November 2013.
Quarterly instalments (two tranches): USD 610,714 In accordance with a sale and termination agreement charterer shall pay a monthly compensation to the company
Interest: 6,40 % Fixed in 12 instalments from January 2014. After the final instalment in December 2014 the company will be liquidated.
The outstanding loan amount was fully prepaid in November 2013 when the vessels were sold.
40 PROJECTS PROJECTS 41
NORTHERN SUPPLY DIS NORWEGIAN PRODUCT DIS
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Eva Lise Bjerke KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson Corporate Manager: Erik Kristian Andresen
Established: July 2011 Estimated share value per 1 %: USD 218 000 Latent tax benefit vessel pr 1%: USD 0 Established: November 2006 Estimated share value per 1%: USD 86 000 Latent tax liability vessel pr 1%: USD 2 000
Paid in capital: USD 21 800 000 Last reported sale per 1 %: USD 173 000 Latent tax benefit debt pr. 1%: USD 0 Paid in capital: USD 10 115 000 Last reported sale per 1% November 2008: USD 73 000 Latent tax liability debt pr. 1%: - USD 150
Uncalled capital : USD 19 280 000 Estimated IRR Buyer : N/A Uncalled capital: USD 6 500 000 Estimated IRR Buyer: 30%
Accumulated dividends: 0 Estimated IRR Seller : N/A Accumulated dividends: USD 5 560 000 Estimated IRR Seller: 5%
Vessels name: Hull 1048 and 1049 to be named Vessels name: Emily PG Lesley PG
Type: STX PSV 09 Clean Design Platform Supply Vessels Type: Product tanker, DH Product tanker, DH
DWT: 4 600 DWT: 6 249 6 249
Speed: 14,5 knots Yard: Kvrner Govan Shipbuilders, UK Appledore Shipbuilders, UK
Yard: ASL Shipyard Pte. Ltd Built / (Rebuilt): 1996 1998
Built: 20122014 Flag: Isle of Man Isle of Man
Class: DNV Class: Lloyds Register Lloyds Register
Flagg: N/A
COMMERCIAL DETAILS
COMMERCIAL DETAILS DELIVERY CASE Corporate management: RS Platou Project Finance AS Expiry of CP: December 14
Disponent owner: Seabulk AS BB rate per day in total for all vessels (net): USD 13 100
Corporate management: RS Platou Project Finance Paid in capital: USD 43 760 000 Project price: USD 32 865 000 Bareboat charter: 8 years
AS Working capital / Stack up if delivered USD 2 600 000 Paid in capital: USD 7 265 000 Bareboat charterer: Giles W. Pritchard-Gordon Tankers Ltd.
Disponent owner: Scantank AS Uncalled capital: USD 7 680 000 Uncalled capital: USD 6 500 000
Project price (resale case): USD 85 978 000 Commencement of CP: December 06
RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH
RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH
Residual value end CP:
Estimated IRR: Residual value end CP: 7 500 000 8 750 000 10 000 000
Estimated IRR for buyer: -1% 30% 64%
CASHFLOW 2014E
CASHFLOW 2014E
Operating revenue N/A
Operating expenses N/A Operating revenue 4 375 000
Net operating cashflow N/A Operating expenses -162 000
Net operating cashflow 4 213 000
Interest earned N/A
Interest expenses N/A Interest earned 0
Drawdown/ Repayment long term debt N/A Interest expenses -408 000
Net financial items N/A Drawdown/ Repayment long term debt -4 150 000
Purchase / Sale of vessels 8 750 000
Estimated dividend N/A Net financial items 4 192 000
Net Projected cashflow 8 405 000
Estimated dividend 9 756 000
BALANCE (ASSUMED DELIVERY AFTER 1 JULY 2014) 01.07.2014
FINANCING COMMENTS
FINANCING COMMENTS
Mortgage 1 Mortgage 2 Sellers Credit This is an asset play project . If sale is not concluded before delivery, Northern Supply DIS will take delivery and Mortgage: USD 25 600 000 As a result of lower ship values, we have had to call upon some of the uncalled capital in 2010.
Loan amount USD 25 600 000 USD 25 600 000 USD 3 000 000 operate the vessels in the spot marked until favourable offer has been received. Balloon: USD 7 600 000 The project is otherwise running very well. The Charterer is financially strong, and hire is being paid on time.
Repayment profile 13.7 years 12 years 5 years Sellers credit: USD 0
Quarterly installments USD 64000 Q1-Q6 thereafter USD 534 000 USD 0 Term: 8 years
USD 640 000 Semi-annual instalments: USD 1 - 16: 1 125 000
Final maturity date 5 years 12 years 5 years Interest: 90% of the loan 6.05%
Balloon payment USD 16 256 000 USD 0 Fixed for the entire fixed charter period (incl. margin.)
Interest terms LIBOR + a margin of 6% p.a. LIBOR + a margin of 3 % p.a 10% of the loan Floating
1% p.a. + guarantee
premium of 3.5% p.a. .
42 PROJECTS PROJECTS 43
OCTAVIAN BULKER DIS ORCHARD OFFSHORE DIS
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Benjamin Ryeng-Hansen KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Benjamin Ryeng-Hansen
Established: September 2010 Estimated share value per 1%: USD 90 250 Latent tax benefit vessel pr 1%: USD 8 800 Established: March 2007 Estimated share value per 1%: USD 11 475 Latent tax liability vessel pr 1%: USD 17 100
Paid in capital: USD 16 000 000 Last reported sale per 1%: N/A Latent tax benefit debt pr 1%: USD 1 300 Paid in capital: USD 7 800 000 Last reported sale per 1%: N/A Latent tax liability debt pr. 1%: USD 800
Uncalled capital: USD 0 Estimated IRR Buyer: 16% Uncalled capital: USD 2 125 000 Estimated IRR Buyer: 16%
Accumulated dividends: USD 1 500 000 Estimated IRR Seller: -7% Accumulated dividends: USD 18 150 000 Estimated IRR Seller: 18%
Vessels name: MV Skomvaer Vessel name: Swiber Navigator Swiber Explorer SOLD Swiber Ada SOLD Swiber Torunn
Type: Supramax Bulk Carrier Type: AHT AHT AHTS AHTS
DWT: 58 000 BHP: 4 000 4 000 5 000 5 000
Yard: Dayang, China Speed: 13.5 knots 13.5 knots 13.5 knots 13.5 knots
Delivered: September 2010 Yard: Malaysia / China Malaysia / China Malaysia / China Malaysia / China
Class: BV1 Built: 2008 2008 2008 2008
Flag: Marshall Island Class: ABS ABS BV BV
Flag: Singapore Singapore Singapore Singapore
COMMERCIAL DETAILS
COMMERCIAL DETAILS
Corporate management: RS Platou Project Finance AS Commencement of CP: September 2010
Disponent owner: Scantank AS Expiry of CP: September 2015 Corporate management: RS Platou Project Finance AS Paid in capital: USD 7 800 000
Project price: USD 36 000 000 TC rate per day year : USD 15 500 Disponent owner: Scantank AS Uncalled capital: USD 2 125 000
Paid in capital: USD 16 000 000 TC charter: Hanjin Shipping Co. Ltd. Project price: USD 43 800 000
Uncalled capital: USD 0
Swiber Navigator Swiber Explorer Swiber Ada Swiber Torunn
RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH
BB rate: USD 3 150 pd USD 3 150 pd USD 4 950 pd USD 4 950 pd
Residual value end CP: USD 20 000 000 Bareboat charter: 8 years 8 years 8 years 8 years
Estimated IRR: 16% Bareboat charterer: Swiber Offshore Marine Pte Ltd guaranteed by Swiber Holdings Ltd
Commencement of CP: January 2008 February 2008 October 2008 December 2008
CASHFLOW 2013 2014E 2015E Expiry of CP: January 2016 February 2016 October 2016 December 2016
Operating revenue 5 603 000 5 601 000 4 207 000
RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH
Operating expenses -2 166 000 -2 100 000 -1 604 000
Administration expenses -178 000 -182 000 -184 000 Residual value end CP: USD 8 500 000 10 000 000
Extraordinary costs 0 0 0 Estimated IRR: 16% 95%
Net operating cashflow 3 259 000 3 319 000 2 419 000
CASHFLOW 2013 2014E 2015E 2016E
Interest earned 20 000 0 0 Operating revenue 5 913 000 4 091 000 2 300 000 98 000
Interest expenses -638 000 -539 000 -397 000 Operating expenses -225 000 -227 000 -229 000 -116 000
Paid in capital 0 0 0 Net operating cashflow 5 688 000 3 864 000 2 071 000 -18 000
Purchase of vessel / Sale of vessel 0 0 20 000 000
Drawdown/ Repayment long term debt -1 800 000 -1 800 000 -14 350 000 Interest earned 1 000 - 30 000 -
Net financial items -2 418 000 -2 339 000 5 253 000 Interest expenses -1 454 000 -888 000 -531 000 -36 000
Net Projected Cashflow 841 000 980 000 7 672 000 Drawdown/ Repayment long term debt -2 268 000 -14 740 000 -4 070 000 -5 410 000
Estimated dividend - 1 000 000 11 093 000 Net financial items -3 721 000 -15 628 000 -4 571 000 -5 446 000
Sale of vessel - 20 000 000 4 250 000 4 250 000
Net project cashflow 1 967 000 8 236 000 1 750 000 -1 214 000
PROJECT BALANCE 01.07.2014
Estimated dividend 2 050 000 8 650 000 350 000 606 000
Cash 1 364 000
Implicit vessel value 23 061 000 PROJECT BALANCE 01.07.2014
Total assets 24 425 000 Cash 475 000
Outstanding debt 15 250 000 Implicit vessel value 10 842 500
Short term payables 150 000 Total assets 11 317 500
Sellers credit - Outstanding debt 7 920 000
Total outstanding debt 15 400 000 Short term payables 250 000
Estimated project value 9 025 000 Sellers credit 2 000 000
Total outstanding debt 10 170 000
FINANCING COMMENTS Estimated project value 1 147 500
Mortgage: USD 22 000 000 The vessel is fixed on a 5 year TC to Hanjin Shipping in Korea. Throughout the time charter period, the vessel FINANCING COMMENTS
Balloon: USD 13 000 000 is fixed on a floor rate of USD 15,500 per day and a ceiling rate of USD 18,500 per day. The daily running costs Mortgage: USD 34 000 000 The Charterer has purchase options from after year 5 to year 10 for Swiber Navigator and Swiber Explorer.
Term: 5 years amounted to USD 4,700 per day in 2011 which is according to budget. Sellers Credit: USD 2 000 000 The Charterer will purchase Swiber Ada and Swiber Torunn end of June 2014.
Quarterly instalments USD 450 000 After completion of year 3 of the TC, the owner has the option to sell the vessel at any time and any circumstances Balloon: USD 15 856 000
and thereby cancel the TC. Term: 8 years
Interest: 70% of the loan fixed for 3 years 3.97% Semi-annually instalments USD 1 134 000
30 % of the loan floating presently 3,28 % Interest mortgage: Average of 5.7424% including 1.00% margin
Margin 3,00 % Interest sellers credit: 3.50%
44 PROJECTS PROJECTS 45
PANDA CHEMICAL II DIS RTS PANAMAX DIS
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Eva Lise Bjerke KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Erik Kristian Andresen
Established: July 2006 Estimated share value per 1%: USD 18 150 Latent tax liability vessel pr 1%: USD 0 Established: April 2007 Estimated share value per 1%: USD 0 Latent tax liability vessel pr 1%: -USD 9 900
Paid in capital: USD 1 815 000 Last reported sale per 1%: Latent tax liability debt pr 1%: USD 2 000 Paid in capital: USD 4 650 000 Last reported sale per 1% may 2009: USD 40 000 Latent tax liability debt pr. 1%: -USD 700
Guaranteed amount by the investors: USD 2 000 000 Estimated IRR Buyer: N/A Uncalled capital: USD 0 Estimated IRR Buyer: N/A
Accumulated dividends: USD 1 565 000 Estimated IRR Seller: 0% Accumulated dividends: USD 3 050 000 Estimated IRR Seller: -15%
Residual value end CP: USD 3 500 000 4 250 000 7 000 000 RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH
Estimated IRR for buyer including 80/20 profit split: -10 % 17 % 83 %
Residual value end CP:
Estimated IRR:
CASHFLOW 2013 2014E 2015E
FINANCING COMMENTS
FINANCING COMMENTS
Mortgage: USD 2 500 000 The company was incorporated on 21 November 2013 with the purpose of purchasing and operating Panda PG
Sellers Credit: USD 0 a 10 year old Oil/Chemical Tanker. The vessel was aquired on 29 November 2013 and delivered to charterer on 30 Mortgage: USD 20 000 000 The bareboat charterer, Rio Tinto Shipping redelivered the vessel one year prior to end of the charter party.
Term: 2 years November 2013. Sellers Credit: USD 0 The vessel is currently fixed on a 1 year TC until December 2014.
Quarterly instalments: USD 62 500 The vessel is trading between the islands in the Bermuda area with refined products. Balloon: USD 11 000 000
Ballon payment USD 2 000 000 The vessel is well kept and in good condition. Term: 6 years
Semi-annually instalments USD 1 - 4: 750 000
Interest: LIBOR + a margin of 5.75% 5 - 24: 300 000
Interest: 6.535%
Comment: 75% of the loan is fixed at 6.535% including margin
46 PROJECTS PROJECTS 47
SARAGOL TANKERS 1 DIS SARAGOL TANKERS 2 DIS
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Coporate Manager: Eva Lise Bjerke KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Eva Lise Bjerke
Established: July 2010 Estimated share value per 1% Latent tax benefit vessel pr 1%: Established: November 2010 Estimated share value per 1% Latent tax benefit vessel pr 1%:
Paid in capital USD 17 737 500 Last reported sale pr 1% Latent tax benefit debt pr. 1%: Paid in capital: USD 18 812 500 Last reported sale pr 1% Latent tax benefit debt pr. 1%:
Uncalled capital: USD 0 Estimated IRR Buyer: Uncalled capital: USD 2 000 000 Estimated IRR Buyer:
Accumulated dividends: USD 7 602 300 Estimated IRR Seller: Accumulated dividends: USD 5 920 000 Estimated IRR Seller:
Mortgage: USD 30 500 000 The project is running as planned. Mortgage: USD 35 500 000 The project is running as planned.
Balloon: USD 13 000 000 Balloon: USD 15 500 000
Term: 5 years Term: 5 years
Semi-annually instalments: USD 1-20: 875 000 Quarterly instalments: USD 1 000 000
Interest: 100% of the loan 4,61%
Fixed for the entire bareboat period (incl. margin). Interest:
Libor plus margin 3%
48 PROJECTS PROJECTS 49
SBS TORRENT KS SBS TYPHOON KS
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Erik Kristian Andresen KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Erik Kristian Andresen
Established: December 2005 Estimated share value per 1%: NOK 610 000 Latent tax liability vessel pr 1%: NOK -326 000 Established: January 2006 Estimated share value per 1%: NOK - Latent tax liability vessel pr 1%: NOK -
Paid in capital: NOK 17 869 000 Last reported sale per 1%: Jan 2011 NOK 450 000 Latent tax liability debt pr. 1%: NOK - Paid in capital: NOK 16 666 700 Last reported sale per 1%: N/A Latent tax liability debt pr. 1%: NOK -
Uncalled capital: NOK 10 000 000 Estimated IRR Buyer: 15% Uncalled capital: NOK 25 000 000 Estimated IRR Buyer: N/A
Accumulated dividends: NOK 40 700 000 Estimated IRR Seller: 19% Accumulated dividends: NOK 106 550 000 Estimated IRR Seller: N/A
COMMERCIAL DETAILS
COMMERCIAL DETAILS
Corporate management: RS Platou Project Finance AS Bareboat charter: 7.5 years
Corporate management: RS Platou Project Finance AS Bareboat charterer: SBS Marine Ltd
Disponent owner: Klaveness Marine Holding AS Bareboat charterer: SBS Marine Ltd
Disponent owner: Klaveness Marine Holding AS Commencement of CP: April 07
Project price: NOK 166 245 000 Commencement of CP: November 2006
Project price: NOK 145 175 000 Expiry of CP: October 14
Paid in capital: NOK 36 650 000 Expiry of CP: May 2014
Paid in capital: NOK 31 975 000
Uncalled capital: NOK 25 000 000
Uncalled capital: NOK 10 000 000
BB rate: Year 1-3: NOK per day: 60 000 net p.d.
BB rate: NOK 50.500 net p.d.
Year 4 - 5.5: NOK per day: 55 000 net p.d.
Bareboat charter: 7.5 years
Year 5.5 - 7.5: NOK per day: 53 000 net p.d.
RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH
Residual value end CP: 150 000 000 Residual value end CP
Estimated IRR for buyer: 15% Estimated IRR for buyer:
FINANCING COMMENTS
FINANCING COMMENTS
Mortgage: NOK 130 400 000 The purchase option has been declared and the vessel was delivered back to the charterer end of May.
Mortgage: NOK 113 200 000 The Charterer has paid BB hire on time and the project has been in compliance with the loan agreement throughout Balloon: NOK 68 900 000 The return to the investors accumulated to an IRR of 20%.
Balloon: NOK 59 950 000 the bb period. Term: 7.5 years
Term: 7.5 years The charter has a purchase option starting from end of year 3 until the end of the fixed charter period. There is a Semi-annually instalments NOK 1-15: 4 100 000
Semi-annually instalments NOK 1-15: 3 550 000 65/35 profit split between the market value and the charterer optional price. Interest: 90% of the loan 5.32% Fixed to April 2014 (incl. Margin)
Interest: 5.31% The vessels present charterfree value is about NOK 150 mil. 10% of the loan Floating
The interest rate is fixed for the entire fixed charter period The base case scenario assume the purchase option being declared with profit split.
50 PROJECTS PROJECTS 51
SEMINYAK DIS SENTOSA OFFSHORE DIS
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Axel M. Aas, Corporate Manager: Benjamin Ryeng-Hansen KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson Corporate Manager: Benjamin Ryeng-Hansen
Established: September 2008 Estimated share value per 1%: USD 66 000 Latent tax benefit vessel pr 1%: USD 1 200 Established: July 2007 Estimated share value per 1%: USD 75 000 Latent tax liability vessel pr 1%: USD 13 400
Paid in capital: USD 32 618 000 Last reported sale per 1%: N/A Latent tax benefit debt pr. 1%: USD -15 400 Paid in capital: USD 8 300 000 Last reported sale per 1%: May 2013 N/A Latent tax liability debt pr. 1%: USD 1 300
Uncalled capital: - Estimated IRR Buyer: N/A Uncalled capital: USD - Estimated IRR Buyer: 16%
Accumulated dividends: - Estimated IRR Seller: N/A Accumulated dividends: USD 12 865 000 Estimated IRR Seller: 16%
Vessel name: MT Sira MT Simoa Vessel name: Swiber Gallant Swiber Valiant Swiber Sandefjord SOLD Swiber Oslo
Type: Chemical Tanker Chemical Tanker Type: AHT AHT AHTS AHTS
DWT: 19 998 40 354 BHP: 5 000 5 000 5 000 5 000
Speed: 15.1 knots 13.5 knots Speed: 12 knots 12 knots 13.5 knots 13.5 knots
Yard: Japan Korea Yard: Malaysia / China Malaysia / China Malaysia / China Malaysia / China
Built: 2008 2004 Built: 2007 2007 2009 2009
Class: Nippon Kaiji Kyokai DNV Class: GL GL BV BV
Flag: Marshall Islands Marshall Islands Flag: Singapore Singapore Singapore Singapore
Pool: Navig8 Chemical pool Navig8 Handy pool BB rate: USD 3 650 pd USD 3 650 pd USD 5 050 pd USD 5 050 pd
Commencement of CP: April 2012 April 2012 Bareboat charter: 8 years 8 years 8 years 8 years
Expiry of CP: 3 months in advance 3 months in advance Commencement of CP: December 2007 December 2007 August 2009 November 2009
Expiry of CP: December 2015 December 2015 August 2017 November 2017
RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH
RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH
Residual value end CP:
Estimated IRR: Residual value end CP: USD 15 000 000 18 000 000 21 000 000
Estimated IRR: -5% 18% 34%
CASHFLOW 2013 2014E
CASHFLOW 2013 2014E 2015E 2016E 2017E
Operating revenue 8 700 000 10 200 000
Operating expenses -6 500 000 -5 700 000 Operating revenue 6 351 000 5 423 000 4 486 000 1 848 000 1 202 000
Dry docking -1 400 000 -200 000 Operating expenses -228 000 -220 000 -222 000 -224 000 -226 000
Net operating cashflow 800 000 4 300 000 Net operating cashflow 6 123 000 5 203 000 4 264 000 1 624 000 976 000
52 PROJECTS PROJECTS 53
SINGAPORE OFFSHORE DIS SINGAPORE SUPPLY DIS
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Axel M. Aas, Corporate Manager: Erik Kristian Andresen KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Eva Lise Bjerke
Established: August 2006 Estimated share value per 1%: USD 75 000 Latent tax liability vessel pr 1%: - USD 50 500 Established: March 2012 Estimated share value per 1 %: USD 102 400 Latent tax benefit vessel pr 1%: USD 0
Paid in capital: USD 7 850 000 Last reported sale per 1%: April 2011 USD 97.500 Latent tax liability debt pr 1%: USD 5 100 Paid in capital: USD 10 240 000 Last reported sale per 1 %: USD 102 400 Latent tax benefit debt pr. 1%: USD 0
Uncalled capital: USD 0 Estimated IRR Buyer: 16% Uncalled capital : USD 8 580 000 Estimated IRR Buyer : N/A
Accumulated dividends: USD 8 615 000 Estimated IRR Seller: 16% Accumulated dividends: 0 Estimated IRR Seller : N/A
Vessel name: Lewek Trogan SOLD Lewek Petrel Lewek Penguin SOLD Lewek Plover Lewek Kea Vessels name: Hull 1067 to be named
Type: AHTS, 18,000 BHP, Fifi 1, DP2 AHTS, 12,000 BHP, Fifi1, DP2 AHTS, 12,000 BHP, Fifi1, DP2 AHTS, 12,000 BHP, Fifi1, DP2 AHT, 8,000 BHP Type: STX PSV 09 Clean Design Platform Supply Vessel
DWT: 2800 2200 2200 2200 N/A DWT: 4 600
Total bollard pull (tonnes): 200 130 130 130 100 Speed: 14,5 knots
Delivery May 2008 June 2008 June 2007 November 2008 February 2008 Yard: ASL Shipyard Pte. Ltd
Yard: Pan-United, Singapore Pan-United, Singapore Pan-United, Singapore Pan-United, Singapore Cheoy Lee, China Built: 2013
Class: American Bureau of Shipping American Bureau of Shipping American Bureau of Shipping American Bureau of Shipping Lloyds Register of Shipping Class: DNV
Flagg: N/A
COMMERCIAL DETAILS
Corporate management: RS Platou Project Finance AS BB rate: 37 490 net p.d. COMMERCIAL DETAILS
Disponent owner: Klaveness Marine Holding AS Bareboat charter: 8 years
Corporate management: RS Platou Project Finance AS Paid in capital: USD 10 240 000
Project price: USD 129 100 000 Bareboat charterer: Emas Offshore Pte. Ltd.
Disponent owner: Scantank AS Working capital / Stack up if delivered USD 1 200 000
Paid in capital: USD 7 850 000 Commencement of CP: June 2007
Project price (resale case): USD 43 240 000 Uncalled capital: USD 8 580 000
Uncalled capital: USD 0 Expiry of CP: December 2016
CASHFLOW 2014E
CASHFLOW 2014E
Operating revenue 13 680 000 Operating revenue N/A
Operating expenses -275 000 Operating expenses N/A
Net operating cashflow 13 405 000 Net operating cashflow N/A
54 PROJECTS PROJECTS 55
SUDONG OFFSHORE DIS SOUTHERN CHEMICAL DIS
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Axel M. Aas, Corporate Manager: Erik Kristian Andresen KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Chris W. Svensson, Corporate Manager: Eva Lise Bjerke
Established: October 2014 Estimated share value per 1%: USD 87 000 Latent tax benefit vessel pr 1%: -USD 8 300 Established: July 2007 Estimated share value per 1%: EUR 54 000 Latent tax liability vessel pr 1%: - EUR 13 700
Paid in capital: USD 8 200 000 Last reported sale pr 1%, April 2014: USD 85 250 Latent tax benefit debt pr. 1%: -USD 500 Paid in capital: EUR 16 350 000 Last reported sale per 1%: January 08 EUR 110 500 Latent tax benefit debt pr. 1%:: - EUR 1 000
Uncalled capital: USD 0 Estimated IRR Buyer: 15% Uncalled capital: EUR 5 000 000 Estimated IRR Buyer: 20%
Accumulated dividends: USD 350 000 Estimated IRR Seller: 15% Accumulated dividends: EUR 1 540 000 Estimated IRR Seller: -16%
56 PROJECTS PROJECTS 57
ULLSWATER SUBSEA DIS VESTLAND MARINE SEISMIC DIS
KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Axel M. Aas, Corporate Manager: Benjamin Ryeng-Hansen KEY FIGURES (date of analysis: 30.06.2014) Project Broker: Axel M. Aas, Corporate Manager: Benjamin Ryeng-Hansen
Established: May 2007 Estimated share value per 1%: USD 158 500 Latent tax liability vessel pr 1%: USD 38 500 Established: February 2014 Estimated share value per 1%: USD 15 500 Latent tax liability vessel pr 1%: N/A
Paid in capital: USD 12 820 000 Last reported sale per 1%: N/A Latent tax liability debt pr. 1%: USD 10 000 Paid in capital: USD 1 550 000 Last reported sale per 1%: N/A Latent tax liability debt pr. 1%: N/A
Uncalled capital: USD 5 000 000 Estimated IRR Buyer: 15% Uncalled capital: USD - Estimated IRR Buyer: 27%
Accumulated dividends: USD 9 438 400 Estimated IRR Seller: 13% Accumulated dividends: USD 100 000 Estimated IRR Seller: 20%
Corporate management: RS Platou Project Finance AS BB rate: USD 17 055 pd less 2% Corporate management: RS Platou Project Finance AS BB rate: USD 1 000 pd first 6 mths or until vessel is employed. Thereafter USD 2 000 pd + profit split.
Disponent owner: NFC Ullswater Subsea LLC Bareboat charter: 10 years Disponent owner: - Bareboat charter: 3 years
Project price: USD 48 820 000 Bareboat charterer: Hallin Marine Singapore Pte Ltd guaranteed by Superior Energy Services Project price: USD 1 550 000 Bareboat charterer: Grand Ocean Shipping Ltd guaranteed by Vestland Marine Sp. z.o.o.
Paid in capital: USD 12 820 000 (International Holdings) Limited Paid in capital: USD 1 550 000 Commencement of CP: 01.03.2014
Uncalled capital: USD 5 000 000 Commencement of CP: 05.02.2009 Uncalled capital: USD 0 Expiry of CP: 01.03.2017
Expiry of CP: 05.02.2019
RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH RESIDUAL VALUE SENSITIVITY ON IRR LOW BASE HIGH
Residual value end CP: USD 23 000 000 28 000 000 33 000 000 Residual value end CP: USD 1
Estimated IRR: 10% 15% 19% Estimated IRR: 27%
CASHFLOW 2013 2014E 2015E 2016E 2017E CASHFLOW 2014 2015E 2016E 2017E
Operating revenue 6 106 000 6 117 000 6 101 000 6 117 000 6 101 000 Operating revenue 489 000 913 000 915 000 147 000
Operating expenses -114 000 -127 000 -129 000 -131 000 -133 000 Operating expenses -630 000 -30 600 -31 000 -16 000
Net operating cashflow 5 992 000 5 990 000 5 972 000 5 986 000 5 968 000 Net operating cashflow -141 000 882 400 884 000 131 000
58 PROJECTS PROJECTS 59
PLATOU SHIPINVEST I DIS
Asset Manager: Trond Hamre PROJECT PORTFOLIO, cont.
Project Currency Share in project Invested per 1% Invested Share in portfolio Sold
Agder Ocean Reefer KS USD 20,0% 81 685 1 633 690 3,2% Apr. 12
Agder Ocean Reefer II DIS USD 41,0% 69 195 2 837 000 5,6% Dec. 10
Bergshav Chemical KS EUR 7,0% 89 105 623 735 1,6% Jan. 12
Bukit Timah Offshore DIS USD 15,0% 292 700 4 390 500 8,7%
Celine I OBO DIS USD 6,0% 15 000 90 000 0,2% Feb. 08
Cement Ship II DIS USD 7,0% 66 000 462 000 0,9% Jan. 13
Chem Cosmos DIS USD 20,0% 116 339 2 326 789 4,6% Mar. 10
PROJECT PORTFOLIO Chem Lily DIS USD 35,5% 133 816 4 750 475 9,4% Oct. 09
Dongguan Chemical Tankers DIS USD 5,0% 71 500 357 500 0,7%
VESSELS AND CHARTERS European Venture DIS USD 8,0% 120 000 960 000 1,9%
European Venture II DIS USD 2,0% 40 150 80 300 0,2% Jun. 10
Project No of vessels Segment Built Charterer Type charter End of charter European Venture III DIS USD 18,0% 57 200 1 029 600 2,0%
Global Cable KS USD 5,5% 35 000 192 500 0,4% Jul. 10
Bukit Timah Offshore DIS 3 AHTS-Offshore 2009/10 Swiber Holdings Ltd Bareboat 2019/20
Global Cable II DIS USD 14,0% 103 786 1 453 000 2,9% Feb. 14
Dongguan Chemical Tankers DIS 1 Chemical 2008 Dongguan Fenghai Ocean Shipping Co Bareboat 2016
Golden Kamsar DIS USD 20,0% 231 000 4 620 000 9,2%
European Venture DIS 2 AHTS-Offshore 2005/06 Grup Servicii Petroliere S. A. Bareboat 2015
Industrial Shipping DIS EUR 10,0% 57 500 575 000 1,1%
European Venture III DIS 1 AHTS-Offshore 1983 Grup Servicii Petroliere S. A. Bareboat 2014
Marineline Chemical DIS USD 10,0% 187 100 1 871 000 3,7%
Golden Kamsar DIS 1 Dry bulk 2010 Golden Ocean Group Ltd Bareboat 2020
Med Ethylene DIS USD 1,0% 67 000 67 000 0,1%
Industrial Shipping DIS 7 MPP-Dry bulk 1997-2000 TransAtlantic Short Sea Bulk AB Bareboat 2019
Multipurpose Bulkers DIS EUR 11,0% 68 227 750 500 1,9% May. 12
Marineline Chemical DIS 3 Chemical 2006/07/08 Hanjin Shipping Co Ltd Bareboat 2014
NFC Panamax DIS USD 10,5% 51 000 535 500 1,1% May. 08
Med Ethylene DIS 2 Ethylene/LPG 1989/90 Synergas SRL Bareboat 2014
Norwegian Product DIS USD 15,5% 108 500 1 681 750 3,3%
Norwegian Product DIS 2 Product tankers 1996/98 Pritchard-Gordon Tankers Ltd Bareboat 2014
Oceanlink Offshore I DIS USD 2,5% 26 500 66 250 0,1% Sep. 10
Orchard Offshore DIS 4 AHTS-Offshore 2007/08 Swiber Holdings Ltd Bareboat 2015/16
Oceanlink Offshore II DIS USD 4,5% 24 400 109 800 0,2% Sep. 10
Panda Chemical II DIS 1 Chemical 2004 Pritchard-Gordon Tankers Ltd Bareboat 2015
Oceanlink Offshore III DIS USD 10,0% 48 450 484 500 1,0% Oct. 13
SBS Torrent KS 1 PSV-Offshore 2006 SBS Marine Ltd Bareboat 2014
Oceanlink Reefer III DIS USD 6,0% 52 000 312 000 0,6% Dec 12
SBS Typhoon KS 1 PSV-Offshore 2006 SBS Marine Ltd Bareboat 2014
Orchard Offshore DIS USD 7,0% 90 000 630 000 1,2%
Southern Chemical DIS 2 Chemical 2002/04 Augusta Due SRL Bareboat 2017
Panda Chemical Oil DIS USD 32,5% 63 500 2 063 750 4,1% Jan. 14
Total 31
Panda Chemical II DIS USD 25,0% 18 150 453 750 0,9%
Pantheon Chemical DIS EUR 20,0% 36 775 735 500 1,9% Mar. 10
Raffles Offshore DIS USD 15,0% 140 000 2 100 000 4,2% Jun. 13
Ross Chemical II DIS USD 4,0 % 298000 1 192 000 2,4% Dec. 09
Ross Chemical IV DIS USD 20,0% 130 000 2 600 000 5,2% Dec. 10
SBS Tempest KS NOK 10,0% 370 000 3 700 000 1,2% Jun. 11
SBS Torrent KS NOK 8,5% 386 000 3 281 000 1,1%
SBS Typhoon KS NOK 20,0% 425 000 8 500 000 2,8%
Scandinavian Bulkers KS EUR 6,0% 63 250 379 500 1,0% Jan. 10
Short Sea Bulkers DIS EUR 20,0% 55 500 1 110 000 2,9% May. 12
Southern Chemical DIS EUR 12,5% 166 660 2 083 250 5,4%
Western Chemical DIS EUR 3,0% 106 000 318 000 0,8% Dec. 11
Total (USD equivalent) 50 478 951 100 %
60 PROJECTS PROJECTS 61
HEAD OFFICE CONTACTS
OSLO, NORWAY SINGAPORE OFFICE
RS PLATOU FINANS SHIPPING RS PLATOU PROJECT FINANCE R. S. PLATOU FINANS SINGAPORE PTE. LTD
RS PLATOU FINANS SHIPPING AS R. S. PLATOU FINANS SINGAPORE PTE. LTD Trond Hamre Erik Kristian Andresen
Haakon VIIs gate 10 3 Temasek Avenue Senior Partner Corporate Manager
P.O. Box 1604 Vika # 20-01 Centennial Tower Dir tel.: +47 23 11 28 09 Dir tel.: +47 23 11 26 54
N-0119 Oslo Singapore, 039190 Mobile: +47 92 88 76 50 Mobile: +47 92 42 06 18
Phone: +47 23 11 20 00 Phone: +65 6303 4950 t.hamre@platou.com ek.andresen@platou.com
Telefax: +47 23 11 23 27 Telefax: +65 6336 8740
E-mail: finans@platou.com E-mail: finans.singapore@platou.com Morten Astrup Elisabeth Relbo
Project Broker Secretary
RS PLATOU PROJECT FINANCE AS Dir tel.: +47 23 11 28 05 Dir tel.: +47 23 11 26 56
Haakon VIIs gate 10 Mobile: +47 92 45 80 62 Mobile: +47 99 42 17 06
P.O. Box 1604 Vika m.astrup@platou.com e.relbo@platou.com
N-0119 Oslo
Phone: +47 23 11 20 00 Truls Wiese Kolstad
Telefax: +47 23 11 23 27 Project Broker
E-mail: finans@platou.com Dir tel.: +47 23 11 28 15
Mobile: +47 93 04 84 33
RS PLATOU INVESTOR SERVICES AS ARS t.kolstad@platou.com
Haakon VIIs gate 10
P.O. Box 1604 Vika Heidi Meyer Westby
N-0119 Oslo Office Manager
Phone: +47 23 11 20 00 Dir tel.: +47 23 11 26 55
Telefax: +47 23 11 23 27 Mobile: +47 93 40 20 02
E-mail: finans@platou.com h.westby@platou.com
Website: www.platou.com
Asbjrn Wulfsberg
Managing Director
Dir tel.: +47 23 11 26 66
Fax: +47 23 11 23 27
Mobile: +47 91 81 83 50
a.wulfsberg@platou.com
Cecilie Thoresensvei 3 1 January 13 Retail NOK 140 000 000 NOK 42 000 000
Hillevgsenteret 1 June 13 Retail NOK 225 000 000 NOK 70 000 000
Landyveien 2 1 April 13 Retail NOK 110 000 000 NOK 33 000 000
Bygdy alle 1 June 13 Office NOK 80 000 000 NOK 24 000 000
Slependveien 54-58 1 June 13 Retail NOK 73 000 000 NOK 17 000 000
Vgsenteret 1 December 13 Retail NOK 70 000 000 NOK 21 000 000
Gamle Forusvei 17-21 2 November 13 Office NOK 425 000 000 NOK 70 000 000
stensjveien 27 1 November 13 Office NOK 452 500 000 NOK 131 000 000
Billingstadsletta 97 1 September 13 Office NOK 30 000 000 NOK 9 000 000
Retail box 1 June 13 Retail NOK 76 000 000 NOK 22 800 000
CBD project 1 December 13 N/A NOK 285 000 000 NOK 100 000 000
REAL ESTATE 1
RS Platou Real Estate AS
Dag Straume
Senior Advisor
2013 TRANSACTION
MARKET DOMINATED BY
MID SIZE TRANSACTIONS
NORWEGIAN MARKET 2013 ment with Agasti which is a one of the largest fund managers in
In 2013 Platou Real Estate concluded 12 projects with an in- the Norwegian market. RS Platou Real Estate will, going for-
vestment value of NOK 2,1 billion making us the second larg- ward, focus on core strategy and scale on its existing platform.
est syndicate-player in the market. The total transaction market
ended up a bit below previous expectations, estimated at total Even though the overall transaction volume was below expecta-
of NOK 38 billion, giving RS Platou Real Estate 5,5% of the tions, the activity in the transaction market was high with re-
overall market. Primo 2013 consensus expected a transaction gards to the number of transactions. The banks are more willing
volume above NOK 50 billion, but this did not happen due to to lend which in turn makes capital available to real estate inves-
the absence of large single assets transactions and/or large cor- tors. The bank margins have furthermore decreased approx. 25-
porate finance real estate transactions. 50 bps during 1H 2014, fueling the market activity.
During 2013 RS Platou Real Estate sold RS Platou Fund Man- During the year we have experienced that foreign investors have
agement to Agasti Holding ASA. A tightening regulatory frame- been more interested in the Norwegian market, many of them
work, most recently with the new AIFMD Directive, makes it making their first investment here. One of the largest new eq-
more difficult for mid/small size property funds. RS Platou uity investors in a RS Platou Real Estate projects is a UK based
Fund Managements assets are too small and were likely to see fund. Our view is that foreign investors want to have direct own-
several other smaller niche players will eventually realize the ership in the assets rather than indirectly through listed com-
same. Due to this, RS Platou Real Estate entered into an agree- panies. We register that our competitors as well structure new stensjveien 27, Oslo. Nominated MIPIM Awards 2014: Best Innovative Green Building.
buyers dominated by foreign capital. One of the largest stand-
alone deals so far in 2014 was bought by an American fund. appetite, probably until we see a reduction in the construction has resulted in a decrease in margins, given a solid ownership
ANNUAL NORWEGIAN TRANSACTION VOLUME Hopefully we will see an increase in their investment appetite cost which has already started. structure. The LTV has however gone down, from the historical
the upcoming year. 70-75% average to a 60-70% average. This can in turn pose a po-
Bill NOK
80
Going on, RS Platou Real Estate will focus on both yielding and tential problem for syndicates established in the period 2005-
Like previous years, the equity market is dominated by profes- operational projects. Regarding yielding assets investors focus 2008, with an ongoing LTV of 75-80%, which is refinancing the
sional investors. The investment scope has somewhat changed on the annual equity dividend, and buildings of high quality coming year(s).
60 through the year, from focusing on high-risk residential con- preferably future built. We seek operational projects were you
version projects, to more focusing on yielding assets and combine an underlying cash-flow with the opportunity to fur- Bond financing is still an attractive financing alternative, and
40 ordinary refurbishment projects. Low rents and reasonable ther develop and/or refurbish. can be competitive on price compared to traditional bank fi-
margins from the banks give a lot of investors a good running nancing, this applies primarily for large industrial real estate
yearly cash flow unless they invest in core CBD office. As we FINANCING companies e.g. Olav Thon and Norwegian Property. The vol-
20
communicated last year, the strong housing market over the The financing difficulties we experienced in 2012 were some ume of bond financing is however lower in 2013 due to more
last years made many investors focus on residential conver- of Norways largest industrial real estate players did not get tra- competitive banks. RS Platou Real Estate has combined bank
0 sion projects with a potential higher return, and Platou Real ditional bank financing, has come to an end. It looks like the and bond financing on one of the projects completed in Decem-
04 05 06 07 08 09 10 11 12 13
Estate was involved in several of that kind. The weaker outlook banks in general are more comfortable with the new EU regula- ber 2013 (stensjveien 27).
Source: RS Platou in the residential market has however reduced the investment tions regarding risk and equity. The improved financial climate
Asset manager Corporate manager Broker Report date 30.06.14 Asset manager Corporate manager Broker Report date 30.06.14
Name: Tom Bhler Thomas degrd Stian Nicolaus Status date 30.06.14 Name: Tom Bhler Thomas degrd Stian Nicolaus Status date 30.06.14
Phone: +47 906 61 187 / 23 11 26 74 +47 913 31 182 / 23 11 26 62 +47 954 86 066 / 23 11 26 72 Phone: +47 906 61 187 / 23 11 26 74 +47 913 31 182 / 23 11 26 62 +47 954 86 066 / 23 11 26 72
Mail: tobo@platou.com t.odegard@platou.com Stian.Nicolaus@platou.com Mail: tobo@platou.com t.odegard@platou.com Stian.Nicolaus@platou.com
COMPANY AND PROPERTY INFORMATION TENANTS 2014 COMPANY AND PROPERTY INFORMATION TENANTS 2014
Name Ensjsen Invest KS Name Average duration Gross rent Index Name Fyrstikkalleen 17 Invest AS Name Average duration Gross rent Index
Address co/ RS Platou Property Management AS Asian Food Import AS 3 720 037 100 % Address co/ RS Platou Property Management AS James Walker Norge AS 1 260 660 100 %
Founded October 2011 GS Bildeler AS 2 423 821 100 % Founded November 2012 Macsimum Design AS 283 152 100 %
Property location Grenseveien 97, Helsfyr, Oslo HC Andersen revisjon 703 109 100 % Property location Fyrstikkalleen 17, Helsfyr, Oslo Norske Grafikeres Verksted AS 406 176 100 %
Segment Office/Warehouse/Development residential Vega Partners AS 697 038 100 % Segment Industry Skintific AS 631 030 100 %
Plot N/A yvind Moen AS 685 918 100 % Plot HK Regnskap 408 400 100 %
Building area 12 229 Global Knowledge AS 593 850 100 % Building area 4 075 Ca. 3 years 2 989 418 100 %
Year of Construction 1965-95 Advokatfirmaet Hulaas & Co 461 900 100 % Year of Construction 1930-1939
Property tax value as per 31.12.2013 23 236 729 Akelius AS 672 765 100 % Property tax value as per 31.12.2013 2 537 676
Net Cash and receivables 4 293 000 Group of smaller tenants 2 233 493 100 % Net Cash and receivables 900 000
Shareholder tax value as of 30.06.2014 0 Apppr. 3,0 years 12 191 931 100 %
COMMENTS COMMENTS
An ongoing development project where part of the land partitioned and development with approximately 150 Office and industrial property with current rental income which is scheduled converted to apartments and additional
apartments for sale. The construction of apartments is planned to start in mid-2015. spaces to a nearby school. An ongoing rezoning process is assumed completed in mid-2015 where the modification
can begin.
Asset manager Corporate manager Broker Report date 30.06.14 Asset manager Corporate manager Broker Report date 30.06.14
Name: Tom Bhler Thomas degrd Hans Martin Haug Status date 30.06.14 Name: Tom Bhler Thomas degrd Pl Sandal Status date 30.06.14
Phone: +47 906 61 187 / 23 11 26 74 +47 913 31 182 / 23 11 26 62 +47 900 66 966 / 23 11 26 71 Phone: +47 906 61 187 / 23 11 26 74 +47 913 31 182 / 23 11 26 62 +47 938 80 083 / 23 11 26 73
Mail: tobo@platou.com t.odegard@platou.com hmh@platou.com Mail: tobo@platou.com t.odegard@platou.com pal.sandal@platou.com
COMPANY AND PROPERTY INFORMATION TENANTS 2014 COMPANY AND PROPERTY INFORMATION TENANTS 2014
Name Gamle Forusvei Invest AS Name Average duration Rent Index Name Grterudveien 8 KS Name Average duration Gross rent Index
Address co/ RS Platou Property Management AS Roxar 23 813 574 100 % Address co/ RS Platou Property Management AS Eltek ASA 8,25 7 153 788 100 %
Founded desember 2013 Total 9 years 23 813 574 100 % Founded fredag april 30, 2004 TeliaSonera Norge AS 9,75 21 000 100 %
Property location Gamle Forusvei 17-21 Property location Grterudveien 8 Total 8,25 7 174 788 100 %
Segment Office/Storage Segment Industry/office
Lot 5 000 Lot 17 009 (Freehold)
Building area 16 449 Building area 6 000
Year of Construction 1985-2010 Year of Construction 1985
Tax Value (estimated) 238 000 000 Tax Value (estimated) 29 947 173
Estimated net cash and receivables 2 903 989 Estimated net cash and receivables 2 372 000
Shareholder tax value as of 31.03.2014 0 Shareholder tax value as of 30.06.2014 0
KEY POINTS DESKTOP FORECAST 2,0 % KEY POINTS DESKTOP FORECAST 2,0 %
Initial yield 7,0 % 2014 2015E 2016 Initial yield 8,25 % 2014E 2015E 2016E
Running yield Gross rent 23 813 574 24 289 845 24 775 642 Running yield 9,5 % Gross rent 7 174 788 7 318 284 7 464 649
Date of total initial payment desember 2013 Ownership cost -950 000 -969 000 -988 380 Date of total initial payment fredag 30. april 04 Ownership cost 7,0 % -502 235 -512 280 -522 525
Real estate purchase price (project price) 335 000 000 Net rent 22 863 574 23 320 845 23 787 262 Real estate purchase price (project price) 55 000 000 Net rent 6 672 553 6 806 004 6 942 124
Paid in equity 67 500 000 Asset/Corp. management -356 000 -363 120 -370 382 Paid in equity 14 000 000 Asset/Corp. management 1,5 % -107 622 -109 774 -111 970
Paid out equity 0 Net rent 22 507 574 22 957 725 23 416 880 Paid out equity 8 390 000 Net rent 6 564 931 6 696 230 6 830 154
Estimated IRR 16,50 % Net interest -12 127 000 -12 127 000 -12 187 635 Estimated IRR N/A Net interest -2 205 264 -2 088 002 -1 961 042
Realized IRR N/A Tax estimate N/A N/A N/A Realized IRR N/A Tax estimate N/A N/A N/A
Uncalled capital 0 Installments 0 -1 340 000 -5 360 000 Uncalled capital 9 780 000 Installments -2 000 000 -2 000 000 -2 000 000
Gross rent per square meter incl. parking 1 448 Net cashflow from GF 11 500 000 500 000 0 Gross rent per square meter incl. parking 1 196 Estimated divided -2 000 000 -2 000 000 -2 000 000
Estimated cash-flow 10 880 574 9 990 725 5 869 245 Estimated cash-flow 359 667 608 228 869 112
Estimated cash-flow in % of paid-in-equity 16,1 % 14,8 % 8,7 % Estimated cash-flow in % of paid-in-equity 16,9 % 18,6 % 20,5 %
FINANCING
ESTIMATED VALUE 30.06.2014 FINANCING ESTIMATED VALUE 30.06.2014
Bank: Balance Date Rate
Floating 134 000 000 01.07.14 1,70 % Yield sensitivity 6,50 % 6,75 % 7,00 % Balance Date Rate Yield sensitivity 8,25 % 8,50 % 8,75 %
5Y Fixed 134 000 000 20.12.18 2,45 % Estimated real estate value 358 782 238 345 494 007 333 154 935 Floating 27 500 000 18.06.14 1,72 % Estimated value G8 82 497 017 80 070 634 77 782 902
Estimated development value 0 0 0 10Y fixed 18 500 000 30.12.21 3,56 % Estimated value G14 7 000 000 7 000 000 7 000 000
Margin 2,45 % Tax disadvantage (10%) -12 078 224 -10 749 401 -9 515 494 Margin 2,25 % Tax disadvantage (10,0%) -5 254 984 -5 012 346 -4 783 573
Estimated interest rate incl. margin 4,53 % Net debt (incl. cash and receivables) -265 096 011 -265 096 011 -265 096 011 Estimated interest rate incl. margin 4,46 % Net debt (incl. cash and receivables) -43 628 000 -43 628 000 -43 628 000
Total 268 000 000 4,53 %% NAV 81 608 003 69 648 595 58 543 431 Total 46 000 000 NAV 40 614 033 38 430 288 36 371 329
Estimated value fixed interest rate 0 0 0 Estimated value fixed interest rate -821 216 -821 216 -821 216
TRADING OF SHARES
NAV incl fixed interest rate 81 608 003 69 648 595 58 543 431 NAV incl fixed interest rate 39 792 817 37 609 072 35 550 113
TRADING OF SHARES NAV incl fixed interest rate per share 816 080 696 486 585 434 Last traded NOK pr. 0,5 %, 130 000 NAV incl fixed interest rate per share 397 928 376 091 355 501
Last traded N/A Number of shares 100 100 100 Date last traded September 2013 Number of shares 100 100 100
Date last traded N/A Seller on price N/A
Seller on price N/A Real estate value per square meter 21 812 21 004 20 254 Buyer on price N/A Real estate value per square meter 14 916 14 512 14 130
Buyer on price N/A Implied leverage 76 % 79 % 82 % Implied leverage 52 % 54 % 55 %
COMMENTS COMMENTS
Bare house lease agreement. The project price does not include Gamle Forus vei 11.The daily operation of the Single tenant building with Eltek ASA. The tenant has had a positive development, and the stock price have increased
property is going well and maintained mainly by Roxar. Roxar has put into operation the new test facility in which they from NOK 3,00 per share to NOK 9,00 per share over the last two years. They have signaled that they possibly want to
have invested approx. USD 2.2 mill. The asset manager has obtained an offer regarding replacement of the roofs and expand their premises. The company is being transformed from an unlimited to a limited partnership.
windows in the testing facility and this is estimated to cost approx. 340,000. Roxar is reporting positive growth and
many new employees. Roxars warehouse and production capacity in Gamle Forusvei 11 is stressed, consequently the
asset manager is in dialogue with Roxar to accommodate Roxars growing need for this type of areas.
Asset manager Corporate manager Broker Report date 30.06.14 Asset manager Corporate manager Broker Report date 30.06.14
Name: Tom Bhler Thomas degrd Pl Sandal Status date 30.06.14 Name: Tom Bhler Thomas degrd Hans Martin Haug Status date 30.06.14
Phone: +47 906 61 187 / 23 11 26 74 +47 913 31 182 / 23 11 26 62 +47 938 80 083 / 23 11 26 73 Phone: +47 906 61 187 / 23 11 26 74 +47 913 31 182 / 23 11 26 62 +47 900 66 966 / 23 11 26 71
Mail: tobo@platou.com t.odegard@platou.com pal.sandal@platou.com Mail: tobo@platou.com t.odegard@platou.com hmh@platou.com
COMPANY AND PROPERTY INFORMATION TENANTS 2014 COMPANY AND PROPERTY INFORMATION TENANTS 2014
Name Hillevgsenteret Holding KS Name Average duration Gross rent Index Name Hvam Eiendomsinvest KS Name Average duration Gross rent Index
Address co/ RS Platou Property Management AS Name Average duration Rent Index Address co/ RS Platou Property Management AS Eikmaskin AS 2 053 136 100 %
Founded September 2013 Elixia Nordics AS 3 762 379 100 % Founded 08.12.2011 GK Norge AS 2 437 872 100 %
Property location Hillevgsveien 25-33 Jula Norge As 4 268 219 100 % Property location Jogstadveien 25 Lubeco AS 1 454 468 100 %
Segment Retail Aske Rogaland AS 2 323 296 100 % Segment Logistics/industry/office Enghav (Garanti fra Domstein) 4 943 284 100 %
Lot 8 760 Helse Vest IKT 1 647 449 100 % Lot Leasehold Snap Drive AS 1 972 524 100 %
Building area 14 930 Stoff & Stil Norge AS 900 000 100 % Building area 11 826 Hvam Bilsenter (Leiegaranti fra Union) 2 174 384 100 %
Year of Construction 1987-2012 Stavanger Idrettsklinikk 620 623 100 % Year of Construction 2011 Total 9 years 15 035 668 100 %
Tax Value (estimated) 216 585 000 Others 3 020 542 100 % Tax Value (estimated) 137 000 000
Estimated net cash and receivables 4 873 969 Total 9 years 16 542 508 100 % Estimated net cash and receivables 9 904 980
Shareholder tax value as of 31.03.2014 0 Shareholder tax value as of 30.06.2014 0
KEY POINTS DESKTOP FORECAST 2,5 % KEY POINTS DESKTOP FORECAST 1,5 %
Initial yield 7,5 % 2014E 2015E 2016E Initial yield 8,0 % 2014E 2015E 2016E
Running yield 7,0 % Gross rent 16 542 508 17 409 635 18 630 612 Running yield 8,1 % Gross rent 15 035 668 15 261 203 15 490 121
Date of total initial payment September 2013 Ownership cost -1 100 000 -1 122 000 -1 144 440 Date of total initial payment 20.12.11 Ownership cost (incl. parkingrent) 10,0 % -1 503 567 -1 526 120 -1 549 012
Real estate purchase price (project price) 220 080 000 Net rent 15 442 508 16 287 635 17 486 172 Real estate purchase price (project price) 171 537 000 Net rent 13 532 101 13 735 083 13 941 109
Paid in equity 70 000 000 Asset/Corp. management -440 000 -448 800 -457 776 Paid in equity 43 000 000 Asset/Corp. management -500 000 -507 500 -515 113
Paid out equity 5 000 000 Net rent 15 002 508 15 838 835 17 028 396 Paid out equity 0 Net rent 13 032 101 13 227 583 13 425 996
Estimated IRR 12,20 % Net interest -6 400 000 -6 510 000 -6 730 000 Estimated IRR 17,00 % Net interest -6 143 878 -5 420 659 -5 271 047
Realized IRR N/A Tax estimate N/A N/A N/A Realized IRR N/A Tax estimate N/A N/A N/A
Uncalled capital 0 Installments -2 750 000 -5 500 000 -5 500 000 Uncalled capital 0 Installments -2 500 000 -3 000 000 -3 500 000
Gross rent per square meter incl. parking 1 108 Estimated cash-flow 5 852 508 3 828 835 4 798 396 Gross rent per square meter incl. parking 1 327 Estimated cash-flow 4 388 223 4 806 924 4 654 949
Estimated cash-flow in % of paid-in-equity 8,4 % 5,5 % 6,9 % Estimated cash-flow in % of paid-in-equity 10,2 % 11,2 % 10,8 %
COMMENTS COMMENTS
The project was acquired in September 2013 from Otium Nring AS. The majority owner, a local real estate investor, The company has experienced two bankruptcies, however guarantees from seller have secured continued cash-flow.
has the asset management of the property. The overall turnover is positive for the property, and the small vacant areas In final negotiations of signing a new lease with a large and solid tenant on the Hvam Bilsenter premises probably
are guaranteed by the Seller. One of the big housing developers in the region, Khlergruppen, is going to develop 400 signed in July. Two positive ongoing dialogues regarding the Enghav premises.
new appartements on the property next to Hillevgsenteret.
Asset manager Corporate manager Broker Report date 30.06.14 Asset manager Corporate manager Broker Report date 30.06.14
Name: Tom Bhler Thomas degrd Hans Martin Haug Status date 30.06.14 Name: Tom Bhler Thomas degrd Hans Martin Haug Status date 30.06.14
Phone: +47 906 61 187 / 23 11 26 74 +47 913 31 182 / 23 11 26 62 +47 900 66 966 / 23 11 26 71 Phone: +47 906 61 187 / 23 11 26 74 +47 913 31 182 / 23 11 26 62 +47 900 66 966 / 23 11 26 71
Mail: tobo@platou.com t.odegard@platou.com hmh@platou.com Mail: tobo@platou.com t.odegard@platou.com hmh@platou.com
COMPANY AND PROPERTY INFORMATION TENANTS 2014 COMPANY AND PROPERTY INFORMATION TENANTS 2014
Name Slependveien 54-58 Utvikling AS Name Average duration Rent Index Name Tverrveien Eiendom AS Name Average duration Rent Index
Address co/ RS Platou Property Management AS All tenants 5 351 286 100 % Address co/ RS Platou Property Management AS Scana Offshore Vestby AS (kontor) 1 945 354 70 %
Founded June 2013 Total 4 years 5 351 286 100 % Founded juni-08 Scana Offshore Vestby AS (industrihaller) 4 489 697 100 %
Property location Slependveien 54-58 Property location Tverrveien 4 Scana Offshore Vestby AS (kaldt lager) 451 022 100 %
Segment Office/Retail Segment Logistics/industry Scana Parkering / 20 stk 27 289 100 %
Lot 8 166 Lot 37 948 Qualified Logistics 2 718 263 100 %
Building area 3 700 Building area 11 577 Dan Cargo AS 1 356 375 100 %
Year of Construction N/A Year of Construction From 1996 Total 1,0 year 10 988 000 95 %
Tax Value (estimated) 21 883 344 Tax value 46 808 087
Estimated net cash and receivables 785 500 Net Cash and receivables 9 838 000
Shareholder tax value as of 30.06.2014 0
COMMENTS COMMENTS
An ongoing development project. In a positive dialogue with the municipality of Brum regarding a potential Industrial and office property. Scana is the main tenant - an international industrial company. Scana has recently sold
conversion from retail to residential. parts of the business to Aqua Marine Subsea AS. Negotiations for new and extended leases expected to be completed by
the end of 2014.
Name:
Phone:
Mail:
Asset manager
Tom Bhler
+47 906 61 187 / 23 11 26 74
tobo@platou.com
Corporate manager
Thomas degrd
+47 913 31 182 / 23 11 26 62
t.odegard@platou.com
Broker
Stian Nicolaus
+47 954 86 066 / 23 11 26 72
Stian.Nicolaus@platou.com
Report date
Status date
30.06.14
30.06.14
CONTACTS
COMPANY AND PROPERTY INFORMATION TENANTS 2014
Name stensjveien 27 Holding AS Name Average duration Gross rent Index RS PLATOU REAL ESTATE AS RS PLATOU PROPERTY MANAGEMENT AS
Address co/ RS Platou Property Management AS NCC Construction AS 17 964 438 100 %
Founded December 2013 AS Norsk Dentaldepot AS 4 376 912 100 % Stian Nicolaus Tom Bhler
Property location stensjveien 27 Wifa AS 2 466 631 100 % Managing Partner Managing Partner
Segment Office Mysof AS 2 189 250 100 % Dir. tel.: +47 23 11 26 72 Dir. tel.: +47 23 11 26 74
Lot 5 083 NCC Property Development AS - Rental Guarantee (Empty premises) 1 585 334 100 %
Building area 16 091 Constructor Norge AS 1 209 235 100 %
Mobile: +47 95 48 60 66 Mobile: +47 90 66 11 87
Year of Construction 2013 NCC Porperty Development AS 233 200 100 % sni@platou.com tobo@platou.com
Tax Value (estimated) 320 000 000 Total 9,5 years 30 025 000 322 130 %
Estimated net cash and receivables 9 030 000 Hans Martin Haug Thomas degrd
Shareholder tax value as of 30.06.2014 0
Senior Partner Managing Director
Dir. tel.: +47 23 11 26 71 Dir. tel.: +47 23 11 26 62
KEY POINTS DESKTOP FORECAST 2,0 %
Mobile: +47 90 06 69 66 Mobile: +47 91 33 11 82
Initial yield 6,4 % 2014E 2015E 2016E
Running yield 6,4 % Gross rent 30 025 000 30 625 500 31 238 010
hmh@platou.com t.odegard@platou.com
Date of total initial payment November 2013 Ownership cost -901 000 -919 020 -937 400
Real estate purchase price (project price) 457 500 000 Net rent 29 124 000 29 706 480 30 300 610 Pl Sandal Axel Olsen
Paid in equity 131 000 000 Asset/Corp. management -450 000 -459 000 -468 180 Partner Facility Manager
Paid out equity 0 Net rent 28 674 000 29 247 480 29 832 430
Estimated IRR 12,40 %
Dir. tel.: +47 23 11 26 73 Dir. tel.: +47 23 11 29 20
Net interest -13 820 000 -13 498 000 -13 407 000
Realized IRR N/A Tax estimate N/A N/A N/A Mobile: +47 93 88 00 83 Mobile: +47 97 66 39 52
Uncalled capital 0 Installments -2 750 000 -2 750 000 -2 750 000 psan@platou.com axel.olsen@platou.com
Gross rent per square meter incl. parking 1 866 Estimated cash-flow 12 104 000 12 999 480 13 675 430
Estimated cash-flow in % of paid-in-equity 9,2 % 9,9 % 10,4 %
Dag Straume
Senior Advisor
FINANCING ESTIMATED VALUE 30.06.2014
Mobile: +47 90 50 77 16
Bank: Balance Date Rate Yield sensitivity 6,30 % 6,40 % 6,50 %
Floating 136 812 500 01.07.14 1,73 % Estimated real estate value 471 531 429 464 163 750 457 022 769
dag.straume@platou.com
5Y fixed 136 812 500 01.10.18 2,37 % Estimated development value 0 0 0
Margin 1,79 % Tax disadvantage (7,0%) -10 607 200 -10 091 463 -9 591 594
Estimated interest rate incl. margin 3,81 % Net debt (incl. cash and receivables) -315 595 000 -315 595 000 -315 595 000
NAV 145 329 229 138 477 288 131 836 175
Bond: Balance Date Rate
Floating 51 000 000 17.06.14 1,72 % Estimated value fixed interest rate 0 0 0
Margin 4,00 % NAV incl fixed interest rate 145 329 229 138 477 288 131 836 175
Estimated interest rate incl. margin 5,72 % NAV incl fixed interest rate per share 1 453 292 1 384 773 1 318 362
Total 324 625 000 Number of shares 100 100 100
COMMENTS
stensjveien 27 is a state-of-the-art office building nominated as one of the worlds best Innovative Green Buildings
at MIPIM 2014. The building was completed for the tenants possession ultimo december 2013. The final completion,
including finalizing of outdoor area, is estimated to 30. June 2014. So far, all progression is accoridng to plans and
timetable.
In the beginning og 2014 there was still approximately 460 sqm office space vacant and some areas of wearhousing in
the basement. The vacant office space is rented out to Akelius on a 5 year agreement with an 5 option on equal terms.
The leaseagreement should be signed in the beginning of June.