Dockwise Ltd has today announced it has signed a letter of intent to sell its wholly-owned subsidiary, Dockwise Yacht Transport (DYT) to Coby Enterprises Corp, supported by private equity and with participation of the existing management of DYT. Closing of the transaction is conditional upon market customary conditions.
The proceeds of this cash deal will be disclosed upon completion of the transaction which is expected to take place during the next quarter. Following the disposal of DYT, Dockwise will be focused solely on its core Heavy Marine Transport (HMT), Transport and Installation (T&I) and Logistical Management activities.
DYT is the world leader in the transport of yachts and leisure craft between premier sailing regions around the globe. Its main market among others is the annual transatlantic migration, in the second and fourth quarters of the year, of luxury yachts from Florida and the Caribbean to the Mediterranean and back. The company owns three dedicated vessels; Super Servant 3, Super Servant 4 and Yacht Express and offers both premium float-on / float-off and lift-on / lift-off yacht transportation services.
DYT has long been operated independently from Dockwise and there was no significant overlap in customers or synergy with the remaining Dockwise fleet. DYT revenue and EBITDA further amounted to a small fraction of the overall Dockwise. It is the intention of the buyers to maintain an independent company with a single focus on the business of transporting leisure craft around the world.
Given the three-vessel structure of DYT, and plans both for the deployment and maintenance of the ships in the immediate future, a phased closure process is planned for the first quarter of 2012.
Andre Goedee, Chief Executive, Dockwise Ltd, said: "DYT played a significant role in the origins of Dockwise, being the product of the merger between Dock Express and Wijsmuller, but with the evolution of our business it is no longer a strategic asset. Dockwise is now focused on the Oil & Gas Industry as a dedicated provider of transportation and installation services. Today's announcement will allow management within the business to focus exclusively on this task and to reallocate capital to supporting the development of our world-leading business."
COBY Enterprises Inc. is a marine solutions, transportation and logistics company providing services in domestic and international markets. The company is headquartered in New York. The Company intends to provide maritime services to the highly evolved and modernized yacht transport business. Steven Byle CEO of COBY stated, "We are excited to get involved in this dynamic and interesting niche in marine transportation. DYT clients can look forward to uninterrupted service in the short term, and improved and expanded services as we go forward. The DYT team and vessels crews will stay in place, and there will be no change in routes or schedules. Moving toward the future, however, our plans include an immediate program for renewal and upgrade of the yacht carrier fleet. And we further intend to add new routes and services for our clients in the years to come."
Clemens Van der Werf, President, Dockwise Yacht Transport LLC, said: " With Coby Enterprises we have found a solid partner who shares our long term vision on the yacht transport industry, and is willing to invest in the growth of our company in order to keep serving yacht owners with premium transport options for their travel needs all around the world"