This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Avista Capital Partners And SEACOR Tankers Form Jones Act Vessel Joint Venture

Stocks in this article: CKH





HOUSTON, May 5, 2014 /PRNewswire/ -- Avista Capital Partners ("Avista"), a leading private equity firm, today announced an investment in a newly formed joint venture with SEACOR Tankers Inc., a subsidiary of SEACOR Holdings Inc. (NYSE: CKH) that operates a fleet of seven U.S.-flag Jones Act vessels (five owned and two chartered-in) in the U.S. coastwise trade transporting crude oil, petroleum and specialty chemical products.  Under the terms of the joint venture, ACP III Tankers LLC, a wholly owned entity of Avista, will fund a portion of the equity required for the design and construction of three 50,000 deadweight ton product carriers, each with 330,000 barrel cargo capacity, which SEACOR has contracted to build at General Dynamic's National Steel and Shipbuilding Company ("NASSCO") shipyard in San Diego, California, with vessel delivery dates of mid 2016, late 2016 and early 2017.

SEACOR Tankers and its affiliates are a full service Jones Act shipping platform with an existing fleet of seven product tankers, all of which are on time charter or long-term bareboat charter.  The Merchant Marine Act of 1920, commonly known as the Jones Act, requires that the transportation of cargo between U.S. ports be carried by U.S.-flag vessels, constructed in U.S. shipyards and crewed and operated by U.S. citizens."We are very excited about our new partnership with SEACOR Tankers," said Steve Webster, Co-Managing Partner and Co-CEO of Avista Capital Partners. "The U.S. is projected to continue to experience significant oil and liquids production growth. This growth is creating incremental demand for Jones Act tonnage, as current pipeline and rail infrastructure are not sufficient to handle the expected ramp up. With our capital investment and SEACOR's experienced team, with whom we have worked closely in the past, our joint venture will be very well positioned to meet this increasing demand and capitalize on future growth opportunities as a result of the strong and improving fundamentals in the Jones Act industry."

Milbank, Tweed, Hadley & McCloy, LLP and Blank Rome LLP served as legal advisors to SEACOR and Vinson & Elkins LLP and Winston & Strawn LLP served as legal advisors to Avista.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 18,030.21 +6.04 0.03%
S&P 500 2,081.88 -0.29 -0.01%
NASDAQ 4,773.4720 +8.0480 0.17%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs