SAN FRANCISCO (Thomson Financial) - Teekay LNG Partners L.P. late Wednesday
said it has agreed to acquire two specialized liquefied natural gas vessels, the
Arctic Spirit and the Polar Spirit, from Teekay Corp. for $230 million.
The 88,000 cubic meter vessels were both built in 1993.
Teekay LNG expects to acquire the vessels on April 1, and immediately
charter the vessels back to Teekay for a period of 10 years, plus options
exercisable by Teekay to extend up to an additional 15 years.
The charters are expected to generate about $27 million yearly in operating
cash flow to the partnership, the company said.
In a statement, Teekay LNG's Chief Executive Peter Evensen called the deal
an "accretive acquisition."
Teekay LNG's closed the regular session down 15 cents at $27.30. Teekay
finished down $1.68, or about 4.1%, at $39.36.
Katherine Hunt
kh
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