Kirby Corp. (NYSE: KEX) has signed an agreement to purchase the inland tank barge fleet of SEACOR Holdings Inc. from subsidiaries of Seacor for approximately $88 million in cash.
The asset purchase will consist of 27 inland 30,000 barrel tank barges and 13 inland towboats, plus one 30,000 barrel tank barge and one towboat currently under construction. Also, as part of the agreement, Kirby will transfer to Seacor the ownership of one Florida-based ship docking tugboat.
Seacor, through its subsidiary SCF Waxler Marine LLC, transports refined petroleum products, petrochemicals, and black oil on the Mississippi River System and Gulf Intracoastal Waterway. The closing of the asset purchase is expected to occur early in the second quarter of 2016 and is subject to certain customary conditions, including regulatory approvals. The acquisition is expected to be paid for using funds available under Kirby's revolving credit facility.
Kirby Corp., based in Houston, Texas, is a tank barge operator, transporting bulk liquid products throughout the Mississippi River System, on the Gulf Intracoastal Waterway, coastwise along all three coasts, and in Alaska and Hawaii. Kirby transports petrochemicals, black oil, refined petroleum products, and agricultural chemicals by tank barge. Through the company's diesel engine services segment, Kirby provides after-market service for medium-speed and high-speed diesel engines and reduction gears used in marine and power generation applications. Kirby also distributes and services high-speed diesel engines, transmissions, and pumps, and manufactures and remanufactures oilfield service equipment, including pressure pumping units, for the land-based pressure pumping and oilfield service markets.