Otto eyes Malaysia

Otto Marine is offloading three of its anchor handlers to its Malaysian subsidiary in a deal worth $37.5m, the company has confirmed.

The vessels involved are the 6,000-bhp Go Avior (built 2010), the Go Hawk (built 2009) and the Go Harrier (built 2010).

Otto said the three modern vessels had been sold to its 49% owned joint venture Go Marine Services (M) Sdn Bhd.

The Singapore listed entity said it expected to receive an initial payment of $3.75m under the deal with the balance paid within 12 months.

Otto said in a statement that the net proceeds from the sale of the vessels would go towards improving its working capital.

The company recently carded a disappointing first quarter to the financial year with a quarterly loss of $14.9m

Declining utilisation sapped away revenue which plunged 42.6% to nearly $77.2m while cost of sales dropped 37.5% to $75.3m.