Neptune Orient Lines to Sell American Eagle Tankers for Approximately $1 Billion

(Washington, D.C.) – In a transaction valued at approximately US$1 billion, Singapore shipping company Neptune Orient Lines (NOL) will sell its wholly owned subsidiary, American Eagle Tankers (AET), to Malaysia International Shipping Corporation Berhad (MISC). The deal – the largest-ever M&A transaction between companies in Singapore and Malaysia, and the largest acquisition in the transportation industry in 2003 – is expected to close by July, subject to shareholder and regulatory approval. Law firm Akin Gump Strauss Hauer & Feld LLP advised NOL in the transaction.

The transaction comprises the sale of all AET shares, together with the transfer of the ship-management operations for AET’s vessels (currently performed by a subsidiary of NOL) under a separate ship-management business transfer agreement.

American Eagle Tankers is a key provider of petroleum transportation services in the Atlantic basin, including lightering, voyage-chartering and time-chartering services. The company has subsidiaries in the United States, the United Kingdom and Asia.

Together with NOL’s in-house counsel, Kelly H. Hughes, partners Anthony J. Renzi Jr. and Michael E. Dillard of Akin Gump Strauss Hauer & Feld LLP led the representation of NOL. JPMorgan acted as investment advisor to NOL. MISC was represented by Norton Rose.

Founded in 1945, Akin Gump Strauss Hauer & Feld LLP, a leading international law firm, numbers nearly 1,000 lawyers with offices in Albany, Austin, Brussels, Chicago, Dallas, Denver, Houston, London, Los Angeles, Moscow, New York, Northern Virginia, Philadelphia, Riverside, Riyadh (affiliate), San Antonio and Washington. The firm has a diversified practice and represents regional, national and international clients in a wide range of areas, including antitrust; banking and financial institutions; capital markets; communications; corporate and securities; employee benefits; energy, land use and environment; entertainment; estate planning, wealth transfer and probate; financial restructuring; government contracts; health; insurance; intellectual property; international; investment management; labor and employment; litigation; mergers and acquisitions; privatization; project development and finance; public law and policy; real estate and finance; taxation; and technology.

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