Stolt-Nielsen Considers Partial Sale of Avenir LNG Stake
Oslo-listed shipping and logistics group Stolt-Nielsen is exploring the possibility of selling up to 50% of its stake in Avenir LNG, a small-scale liquefied natural gas (LNG) business. This consideration comes just months after Stolt-Nielsen took full control of Avenir LNG, making it a wholly owned subsidiary. The discussions involve a strategic buyer and are part of Stolt-Nielsen’s broader strategy to enhance growth and capitalize on the value of its LNG segment.
The potential transaction is still in the early stages and is subject to final documentation and regulatory approvals, which are anticipated to be completed by the first quarter of 2026. If the deal goes through, Stolt-Nielsen plans to maintain a significant ownership stake and operate Avenir LNG as a joint venture with the new partner. This move reflects the company’s intent to leverage external investment to support the growth of its LNG operations.
Avenir LNG’s Operations and Market Value
Avenir LNG currently operates five small-scale LNG bunker vessels, with two additional vessels under construction. The company has positioned itself as a key player in the LNG bunkering market, which is gaining traction as the maritime industry shifts towards cleaner fuel alternatives. Shipping analysts from Swedish investment bank SEB estimate Avenir LNG’s enterprise value at approximately $210 million, based on a 9.0x EV/EBITDA multiple projected for 2026.
A successful sale at or above this valuation could not only crystallize the unit’s worth but also serve as a positive catalyst for Stolt-Nielsen’s overall share performance. The strategic move to bring in a partner aligns with the company’s goal of enhancing its LNG segment while ensuring it retains a significant stake in the business.
Stolt-Nielsen’s Broader Business Portfolio
Beyond its LNG operations, Stolt-Nielsen has a diverse portfolio that includes bulk liquid and chemical logistics through its Stolt Tankers, Stolthaven Terminals, and Stolt Tank Containers divisions. Additionally, the company operates in the aquaculture sector through Stolt Sea Farm. This multifaceted approach allows Stolt-Nielsen to mitigate risks and capitalize on various market opportunities.
The potential sale of a portion of Avenir LNG is a strategic decision that underscores Stolt-Nielsen’s commitment to growth and innovation in the shipping and logistics industry. As the company navigates this process, it aims to strengthen its position in the evolving energy landscape while continuing to deliver value to its stakeholders.
