Genting Hong Kong has announced that it has entered into a sale and leaseback agreement for the 2016-built Genting Dream.
The company has sold the ship for $900 million or 80 per cent of the closing market value (whatever is lower), in a deal involving three Chinese banks. The ship was recently appraised at $1,180,000,000 according to a filing from Genting.
The agreement also includes a bareboat charter agreement to lease the ship back to Genting for 12 years.
Genting said in a filing that the agreement would provide working capital at reasonable terms that will help it finance its cruise expansion and newbuild program at MV Werften.
The company will purchase the ship back once the 12-year charter period has ended.
Of note, Genting said the net profit attributable to the Genting Dream in 2017 was $23,010,000 and in 2018, $19,367,000
Earlier this year, Genting also sold a 35 per cent stake in Dream Cruises.