Nam Cheong inks JV with Marco Polo Marine

It's a 50:50 deal.

Mainboard-listed firms Marco Polo Marine Ltd and Nam Cheong Limited have formed a joint venture company following the sale of Marco Polo Marine Group’s 50% stake in Marco Polo Offshore (IV) Pte Ltd (the “JV Co”) to Nam Cheong Group yesterday.

The JV Co recently purchased a newly built Accommodation Work Vessel (AWV) constructed by the Nam Cheong Group.

Following the acquisition of the AWV, the firms revealed that the JV Co has also secured a long-term firmed five-year bare-boat contract with an estimated value in excess of US$27 million.

“The Contract value does not include the two-year plus subsequent two-year further extension options subject to mutual agreement between the JV Co and the charterer, which if fully exercised, would result in a contract value of almost US$50 million,” the firms noted in a statement.