Samudera Shipping Line (SGX:S56) increased its share capital in Samudera Shipping Indonesia through an extension of a shareholder's loan worth around $2.9 million, according to a filing with the Singapore Exchange on Tuesday.
The loan was used to finance the acquisition of two ethylene gas carriers, the filing said.
The company, along with Samudera Shipping Indonesia shareholders, Samudera Perkapalan Indonesia and Samudera Wadah Mitra, have agreed to capitalize the loan by issuing 231 series C shares of Samudera Shipping Indonesia with an aggregate nominal value of 231.0 million Indonesian Rupiahs.
The remaining amount of $2.8 million has been recorded as share premium in Samudera Shipping Indonesia.
In order to maintain the shareholding proportion of all shareholders of Samudera Shipping, Samudera Perkapalan Indonesia has subscribed for 235 series A shares and Samudera Wadah Mitra has subscribed for 5 series B shares.
Shares of the shipping line company were up nearly 2% in recent trading.
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