On January 24, SITC International Holdings Company Limited (hereinafter referred to as “SITC International”) issued an announcement on “Discloseable Transaction – Exercise of Options for the Construction of Two Container Vessels”.
The announcement disclosed that SITC International’s wholly-owned subsidiary, SITC Shipowner, exercised the option to build two container vessels at Huanghai Shipbuilding Co., Ltd. (hereinafter referred to as “Huanghai Shipbuilding”) on January 24, 2024, with a total price of US$57.96 million. The two vessels will be delivered on or before October 31, 2027 and December 31, 2027, respectively. The decision to exercise the option was based on the company’s need to expand its fleet to meet operational needs.
According to the announcement, the two container vessels have a deadweight tonnage of approximately 24,000 tons and can accommodate 1,800 TEUs. The contract price is US$28.98 million each, and the payment will be made in five stages, with the first installment to be paid within nine business days after receiving the shipbuilder’s notification.
According to the previous announcement, SITC International entered into an order for 4+6 1,800 TEU container vessels with Huanghai Shipbuilding on June 29, 2024, which was not announced at that time as “all applicable percentage ratios in respect of the transactions under the Shipbuilding Contracts are less than 5%”.
Last October, SITC International announced the first two option vessels to be put into effect. This time, the third and fourth option vessels are put into effect. Including the latest order, the project has put into effect orders for 8 vessels. If all 10 vessels are put into effect, the total order size will reach US$290 million.
According to the official website, SITC International is a leading shipping and logistics company in Asia headquartered in Hong Kong. Its business includes container liner shipping, ship management, ship brokerage, international freight forwarding, ship agency, customs declaration and inspection, bulk cargo consolidation, supply chain management, professional logistics, warehousing, container yards, terminals, logistics automation and informatization, intelligent equipment and other fields.