Herbert Smith Freehills has advised Pacific Basin Shipping on the sale of its shareholding in PB Towage Australia (PBTA) and a harbour tug and barge owned by another of its subsidiaries to Smit Lamnalco.

The combined AU$74 million sale of PBTA, which includes its harbour towage operations and 16 harbour tugs and the additional harbour tug and barge, marks Pacific Basin's exit from its harbour towage business and activities.

The deal is in line with Pacific Basin's strategy to enhance its focus on its cornerstone dry bulk business.Net sale proceeds from the sales will be used for working capital.

Herbert Smith Freehills Asia Corporate Head Austin Sweeney led on the deal with assistance from Hong Kong-based senior associate Katie Hill.

Pacific Basin is one of the world’s leading owners and operators of modern Handysize and Handymax dry bulk vessels. The Company is listed and headquartered in Hong Kong, and currently operates in two main maritime sectors under the banners of Pacific Basin Dry Bulk and PB Towage.

Based in the Netherlands, Smit Lamnalco is a provider of towage and associated marine services to the oil and gas industry.