SK Shipping and H-Line Swap Assets to Expand LNG Fleet

SK Shipping Co. and H-Line Shipping Co. will execute an asset and contract swap to restructure their shipping operations. The deal, orchestrated by their common owner, the private equity firm Hahn & Company, aims to secure predictable cash flows in response to geopolitical uncertainty in the Persian Gulf.

Under the terms of the agreement, SK Shipping will acquire 16 liquefied natural gas (LNG) vessels and their corresponding long-term contracts from H-Line. In exchange, SK Shipping will transfer 12 tankers and associated contracts to H-Line, along with approximately $300 million in cash.

The restructuring transforms the strategic positioning of both companies. SK Shipping will become the world's third-largest LNG carrier operator. Meanwhile, H-Line will transition its business model to become a leading regional tanker and bulk-shipping company.