Offshore Merchant Partners is pleased to announce an investment of USD 50 million in convertible preferred units in KNOT Offshore Partners L.P. The transaction was privately negotiated and is a key milestone for Offshore Merchant Partners’ Asset Yield Fund.
KNOT Offshore Partners L.P. is a Master Limited Partnership listed on New York Stock Exchange in April 2013. The company owns, operates and acquires shuttle tankers under long-term charters in the offshore oil production regions of the North Sea and Brazil, and has a market cap of ca. USD 615 million and an enterprise value of ca. USD 1.2 billion.
With announced drop-down of Raquel Knutsen in December 2016, KNOP owns a modern fleet of 11 advanced DP2 shuttle tankers with an average age of 4.7 years. All vessels are on long-term contracts with an average remaining firm period of 5.3 years and a total firm backlog of USD 880 million. KNOP’s clients are all major energy companies with a real physical requirement for transportation.