The sale of the Floating Storage and Regasification Unit (FSRU) by Triumph Offshore Private Limited (TOPL) has significant financial and operational impacts. As per the board meeting on July 31, 2024, the company approved the sale of the FSRU to BOTAS for $399 million. This transaction is pending various approvals including from shareholders and regulatory bodies.
One of the key impacts of this sale is that it enabled TOPL to make a pre-payment of ₹82,481 lakhs to its consortium of lenders, marking full repayment of its outstanding debt on August 1, 2024(Swan). This move substantially reduces the company’s debt burden, strengthening its financial position. Additionally, this sale is part of the company’s broader restructuring and financial strategy to enhance profitability and operational efficiency.
The FSRU was earlier generating revenue through various charter hire agreements with international clients, including interim utilization as an LNG carrier for companies like CNTIC V Power Energy and Tema LNG. The sale of this asset marks a shift in focus from interim utilization to a more sustainable long-term strategy involving debt management and operational improvements.
As per Annual report 2023-24
| Subscribe To Our Free Newsletter |
