TORM purchases eight and sells one second-hand MR vessel, increasing the fleet size to 96 vessels

15 Jul 2024 09:11 CEST

On 15 July 2024, TORM has entered into an agreement to acquire eight second-hand
MR vessels that are expected to be delivered during Q3 2024 and Q4 2024 for a
total consideration of USD 340m, with a cash consideration of USD 238m and the
issuance of approximately 2.65 million shares. The purchase price is subject to
certain adjustments that will be impacted by TORM’s share price development and
the vessels’ delivery schedules.

The vessels have all been built at the Tier 1-Korean yard Hyundai Mipo Dockyard
in 2014-2015, and six of the vessels have been fitted with scrubbers. The cash
element of this transaction will be financed through traditional bank financing.


TORM has, since the release of our Q1 2024 results, sold one 2006-built MR
tanker for delivery in Q3 2024 for a cash consideration of USD 23.3m.

“We are pleased to once more announce a partially share-based transaction to
acquire vessels. Since 2021, TORM has utilized partially share-based
transactions to expand the fleet, even before the product tankers market took
off. This model highlights the strong trust the sellers have in our One TORM
platform and their firm belief in market fundamentals,” says Jacob Meldgaard,
Executive Director and CEO.

Contact
Mikael Bo Larsen, Head of Investor Relations
Tel.: +45 5143 8002


About TORM
TORM is one of the world’s leading carriers of refined oil products. TORM
operates a fleet of approximately 90 product tanker vessels with a strong
commitment to safety. environmental responsibility, and customer service. TORM
was founded in 1889 and conducts business worldwide. TORM’s shares are listed on
Nasdaq in Copenhagen and on Nasdaq in New York (ticker: TRMD A and TRMD. ISIN:
GB00BZ3CNK81). For further information. please visit www.torm.com.

Safe harbor statements as to the future
Matters discussed in this release may constitute forward-looking statements. The
Private Securities Litigation Reform Act of 1995 provides safe harbor
protections for forward-looking statements in order to encourage companies to
provide prospective information about their business. Forward-looking statements
reflect our current views with respect to future events and financial
performance and may include statements concerning plans, objectives, goals,
strategies, future events or performance, and underlying assumptions and other
statements, which are statements other than statements of historical facts. The
Company desires to take advantage of the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995 and is including this cautionary
statement in connection with this safe harbor legislation. Words such as, but
not limited to, “expects,” “anticipates,” “intends,” “plans,” “believes,”
“estimates,” “targets,” “projects,” “forecasts,” “potential,” “continue,”
“possible,” “likely,” “may,” “could,” “should” and similar expressions or
phrases may identify forward-looking statements.
The forward-looking statements in this release are based upon various
assumptions, many of which are, in turn, based upon further assumptions,
including without limitation, management’s examination of historical operating
trends, data contained in our records and other data available from third
parties. Although the Company believes that these assumptions were reasonable
when made, because these assumptions are inherently subject to significant
uncertainties and contingencies that are difficult or impossible to predict and
are beyond our control, the Company cannot guarantee that it will achieve or
accomplish these expectations, beliefs, or projections. Important factors that,
in our view, could cause actual results to differ materially from those
discussed in the forward-looking statements include, but are not limited to, our
future operating or financial results; changes in governmental rules and
regulations or actions taken by regulatory authorities; the central bank
policies intended to combat overall inflation and rising interest rates and
foreign exchange rates; inflationary pressure; increased cost of capital or
limited access to funding due to EU Taxonomy or relevant territorial taxonomy
regulations; the length and severity of epidemics and pandemics and their impact
on the demand for seaborne transportation of petroleum products; general
domestic and international political conditions or events, including “trade
wars”, and the conflict between Russia and Ukraine, the developments in the
Middle East, including the conflicts in Israel and the Gaza Strip, and the
conflict regarding the Houthi attacks in the Red Sea; changes in economic and
competitive conditions affecting our business, including market fluctuations in
charter rates and charterers’ abilities to perform under existing time charters;
changes in the supply and demand for vessels comparable to ours and the number
of newbuildings under construction; the highly cyclical nature of the industry
that we operate in; the loss of a large customer or significant business
relationship; changes in worldwide oil production and consumption and storage;
risks associated with any future vessel construction; our expectations regarding
the availability of vessel acquisitions and our ability to complete acquisition
transactions planned; availability of skilled crew members other employees and
the related labor costs; work stoppages or other labor disruptions by our
employees or the employees of other companies in related industries; the impact
of increasing scrutiny and changing expectations from investors, lenders and
other market participants with respect to our ESG policies; Foreign Corrupt
Practices Act of 1977 or other applicable regulations relating to bribery;
effects of new products and new technology in our industry, including the
potential for technological innovation to reduce the value of our vessels and
charter income derived therefrom; new environmental regulations and
restrictions, whether at a global level stipulated by the International Maritime
Organization, and/or imposed by regional or national authorities such as the
European Union or individual countries; the impact of an interruption in or
failure of our information technology and communications systems, including the
impact of cyber-attacks, upon our ability to operate; potential conflicts of
interest involving members of our board of directors and senior management; the
failure of counterparties to fully perform their contracts with us; changes in
credit risk with respect to our counterparties on contracts; our dependence on
key personnel and our ability to attract, retain and motivate key employees;
adequacy of insurance coverage; our ability to obtain indemnities from
customers; changes in laws, treaties or regulations; our incorporation under the
laws of England and Wales and the different rights to relief that may be
available compared to other countries, including the United States; government
requisition of our vessels during a period of war or emergency; the arrest of
our vessels by maritime claimants; any further changes in U.S. trade policy that
could trigger retaliatory actions by the affected countries; potential
disruption of shipping routes due to accidents, climate-related incidents,
environmental factors, political events, public health threats, acts by
terrorists or acts of piracy on ocean-going vessels; the impact of adverse
weather and natural disasters; damage to storage and receiving facilities;
potential liability from future litigation and potential costs due to
environmental damage and vessel collisions; and the length and number of
off-hire periods and dependence on third-party managers.
In the light of these risks and uncertainties, undue reliance should not be
placed on forward-looking statements contained in this release because they are
statements about events that are not certain to occur as described or at all.
These forward-looking statements are not guarantees of our future performance,
and actual results and future developments may vary materially from those
projected in the forward-looking statements.
Except to the extent required by applicable law or regulation, the Company
undertakes no obligation to release publicly any revisions or updates to these
forward-looking statements to reflect events or circumstances after the date of
this release or to reflect the occurrence of unanticipated events. Please see
TORM’s filings with the U.S. Securities and Exchange Commission for a more
complete discussion of certain of these and other risks and uncertainties. The
information set forth herein speaks only as of the date hereof, and the Company
disclaims any intention or obligation to update any forward-looking statements
as a result of developments occurring after the date of this communication.

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623642_02_2024_Acquisition_of_eight_one_sale_MRs.pdf