SBM Offshore has signed a non-recourse sale and leaseback financing agreement for FPSO Cidade de Paraty for a total amount of US$400 million with a tenor of 8 years, according to the company's release.
The transaction is expected to be completed before the end of April 2025, subject to the fulfillment of certain closing conditions.
FPSO Cidade de Paraty is owned by a special purpose company, with affiliated companies of SBM Offshore holding a 63.125% stake and its partners owning 36.875%.
Under the agreement, ownership of the asset will be transferred to four Chinese leasing companies. SBM Offshore and its partners will continue to operate and maintain the FPSO until the end of its initial charter and operating contracts, which have 8.5 years remaining.
Douglas Wood, CFO of SBM Offshore, stated: “We are very pleased to have signed the refinancing of FPSO Cidade de Paraty, the Company’s first sale and leaseback financing. With this strategic transaction we are demonstrating once again the value of our unique lifecycle offering not only from an execution and operation standpoint but also in our ability to continue to provide innovative long-term financing solutions for our clients. We appreciate the continued support from our Chinese leasing partners.”
SBM Offshore is a Netherlands-based company specializing in offshore energy infrastructure, with a focus on floating production, storage, and offloading (FPSO) vessels. It provides services across the full lifecycle of offshore projects, including design, construction, installation, and operation. The company operates globally, employing over 7,800 people, and is headquartered in Amsterdam. SBM Offshore owns and manages a fleet of FPSOs, which it leases to clients or sells on a turnkey basis, primarily serving the oil and gas industry while emphasizing sustainable energy solutions.