Braemar announced it has completed the disposal of Cory Brothers to Dutch maritime services company Vertom.
The value of the sale will be between £10.25m ($13.6m) and £15.5m, within initial cash proceeds of £6.5m followed by three payments linked to the Cory’s gross profit. The earnout period runs through until the end of 2024, said Braemar.
The sale comes as the shipbroker looks to focus on its shipbroking activities and simplify its operations. “The board intends to use the consideration from the disposal to reduce net debt and strengthen the balance sheet in furtherance of this strategy,” said Braemar.
The sale to Dutch maritime service company Vertom follows a decade-long co-operation between the companies.
Braemar described Cory as comprising a port and hub agency business and a liner and freight forwarding business with services offered in ports in the UK, Singapore, North America and the Netherlands.
Cory Managing Director, Peter Wilson and Finance Director, David Noble, will leave the Braemar group to take up similar roles with the new Vertom-Cory business after the disposal, said Braemar.
James Gundy, CEO of Braemar, said: “The disposal of Cory is the last key step in the execution of our stated strategy of refocusing Braemar on our shipbroking core and I am pleased that the buyers of Cory are a long-term strategic partner. “
Arjan de Jong, Managing Director of Vertom Group, said: “After years of close co-operation we come to a new chapter with the acquisition of Cory. This acquisition enables us to create a strong European port agency and freight forwarding division under the name VertomCory.”
Source: Seatrade Maritime News
