Divestment of Two Handysize Bulk Carriers

17 May 2021

Tufton Oceanic Assets Limited (The "Company")

Divestment of Two Handysize Bulk Carriers

The Board of Tufton Oceanic Assets Limited (ticker: SHIP.L) is pleased to announce that the Company has agreed to divest two Handysize Bulk Carriers for $20.5m.

The realised IRR materially exceeds the targets expressed in the Company's prospectus dated 25 September 2018.

This will be the Company's third divestment. Whilst the Company aims to hold its investments over the longer term, we will sell investments where this generates additional value for shareholders. The vessels were acquired for less than 70% of depreciated replacement cost in 2018 and early 2020. In line with our investment strategy, we are taking the opportunity to divest at 100% of depreciated replacement cost. The Company expects to redeploy the proceeds promptly, and expects to invest in a Tanker with similar economics to the vessel Golding acquired earlier this year at 70% of depreciated replacement cost. A further update will be made in due course.

Tufton Investment Management Ltd, the Investment Manager, continues to identify an attractive pipeline of opportunities across a range of the Company's target sectors.

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About the Company

Tufton Oceanic Assets Limited invests in a diversified portfolio of secondhand commercial sea-going vessels with the objective of delivering strong cash flow and capital gains to investors. The Company's investment manager is Tufton Investment Management Ltd. The Company has raised a total of approximately $265m (gross) through its Initial Public Offering on the Specialist Fund Segment of the London Stock Exchange, on 20 December 2017, a subsequent placing and offer in October 2018, a placing in March 2019, a placing in September 2019 and a tap issue in March 2021.