Boskalis and KS Investments (Keppel) have inked an agreement for the sale of their harbour towage activities in Singapore, Keppel Smit Towage (KST) and in Malaysia, Maju Maritime to Rimorchiatori Mediterranei.

Under the terms of the agreement, Boskalis expects to receive approximately $90.9m in cash for its 49% equity stake. The contribution of KST and Maju to the net profit of Boskalis over the last two years was $4.54m per annum.

Keppel Smit Towage (KST) was established in 1991 as a joint venture between Keppel and SMIT, a wholly owned subsidiary of Boskalis. Over the past thirty years, KST has developed into one of the largest and leading harbour tug service providers in Southeast Asia. KST operates a combined fleet of 58 tugboats in Singapore and through its joint venture in Malaysia.

The sale of KST follows the strategic decision taken by Boskalis in 2019 to divest its harbour towage activities. Boskalis divested its stakes in SAAM Smit Towage and KOTUG SMIT Towage in 2019.

Rimorchiatori Mediterranei  is a subsidiary of Rimorchiatori Riuniti Group, a maritime service provider headquartered in Genoa, Italy, established in 1922.

Rimorchiatori Mediterranei operates a fleet of more than 100 modern vessels in more than 20 major ports employing approximately 900 people.

The agreement is subject to approval from the regulatory agencies in Singapore and the transaction is expected to close in the first half of 2022.

Source: Seatrade Maritime News