Wellard close to $37m sale of Ocean Swagman

Zach RelphCountryman
MV Ocean Swagman could be sold for $37 million.
Camera IconMV Ocean Swagman could be sold for $37 million.

Live exporter Wellard is edging towards a deal to offload one of its vessels, agreeing to a more than $37 million proposal from a Nova Marine Holdings subsidiary.

The John Klepec-headed company told shareholders this morning it had accepted a proposal from Nova’s Panama-based arm Trim Shipping to buy the M/V Ocean Swagman for $US25.2 million ($37.2 million).

However, the transactions still remains subject to approval from Nova’s board.

The announcement comes after Wellard last week revealed it was “actively negotiating with another party” on a deal that could “lead to a superior proposal” after negotiations with the Holmes a Court family’s private firm Heytesbury Holdings hit a snag.

Heytesbury initially offered $US22 million for the livestock carrier, but requested an extension to the July 29 deadline for its formal due diligence.

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Heytesbury had also proposed amendments to the terms of the initial transaction.

Wellard’s shares were up 2.6 per cent at 4¢ at 8.40am.

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