SFS and Kuwait Fund in shipping fund joint venture

SFS Group Public Company Ltd (SFS) announced that as part of its efforts to raise investment funds for participation in the Shipping sector, the Group has signed a joint venture agreement with Kuwait Finance House Labuan (KFHL) a wholly-owned subsidiary of Kuwait Finance House (Malaysia) Berhad (KFHMB), for the establishment of a Shipping Fund via a Limited Partnership in Cayman Islands.
The investment fund’s target size will be approximately USD150 mln and will be managed by an equally-owned company based in Cayman Islands. The Shipping Fund’s objective will be to invest, directly in shipping assets and primarily in market leaders of chartered vessels, with a preference for offshore ships such as Offshore Supply Vessels (OSV) and Platform Supply Vessels (PSV). The term of the fund will be seven years from first closing with an extension of up to three additional years to allow for orderly liquidation of the Fund’s assets.