. raises almost USD 100 million in new capital and invests in a fleet for the future.
Fairstar Heavy Transport N.V. (FAIR) has published its audited financial statement for 2010, recording a net profit after tax of USD 228 thousand. The report also highlighted the company's activities in the international capital markets, successfully raising almost USD 100 million that was invested in two new open stern, semi-submersible vessels FORTE and FINESSE as well as paying down long term debt.
Philip Adkins, the Fairstar Chief Executive Officer, stated "2010 was a transformational year for our young company. We identified the dangers we faced in a marine heavy transport market characterized by excess capacity, high leverage, inflated asset values, scarcity of cargoes and the subsequent collapse in day rates. We have articulated a strategy that positions Fairstar in the segment of the market with the highest barriers of entry. We have invested in two modern semi-submersible vessels that are of a proven design, from a reliable shipyard at a fixed price of USD 102 million. The return on investment these ships will generate for our shareholders is higher than anything comparable in the heavy transport market today. The award of the USD 90 million contract to Fairstar in 2010 for the Gorgon LNG project validates our strategy and will form the foundation of permanent and sustainable future value for our shareholders. We are confident that Gorgon was the first of many multi-voyage contracts for high value marine transport services required by owners of multi billion dollar energy infrastructure projects."
Willem Out, the Fairstar Chief Operating Officer, added "The FORTE and FINESSE are both on schedule for delivery in April and October 2012 respectively. These two 50,000DWT ships will be operated by Fairstar's Team of experienced officers, engineers and crewmen. In 2010 we invested in our future and I am certain our company is well prepared to prosper in the foreseeable future. The safety and environmental standards of our clients will become more severe. The technical complexity of transportation solutions will increase. Fairstar is unique in the marine heavy transport industry today. We own a modern fleet of true open stern, semi-submersible vessels; dedicated Fairstar personnel to sail them; experienced technical managers on shore to support them; and a strong balance sheet to sustain them.
I share the view of our CEO that leadership in our industry will not be determined by size."