Dry cargo vessel owner and operator Navios Maritime Partners has completed the acquisition of container shipping company Navios Maritime Containers.
Under the terms of the deal announced on 31 December 2020, a wholly-owned subsidiary of Navios Partners merged with and into Navios Containers, with Navios Containers surviving as a wholly-owned subsidiary of Navios Partners.
As of the close of the market on March 31, 2021, Navios Containers’ common units were no longer listed for trading on NASDAQ.
“We are pleased to close this transformative transaction which provides Navios Partners with significant benefits of diversification. The transaction builds scale through a larger, diversified asset base with an increased earnings capacity,” Angeliki Frangou , Chairman and Chief Executive Officer, commented.
“The enlarged entity will benefit from a simplified capital and organizational structure thereby eliminating duplicative costs. The entity will have an enhanced credit profile through increased cash flow supporting deleveraging as well as growth. Moreover, the large asset base will provide the entity a significant buffer of collateral value.”
Each outstanding Navios Containers public unit was cancelled and automatically converted into the right to receive 0.39 of a Navios Partners common unit at the effective time of the merger.