Business Context and Reporting Period
This Form 6-K filing by KNOT Offshore Partners LP (the "Partnership") covers the month of November 2017, with the report dated November 6, 2017. The filing primarily discloses a corporate transaction involving the acquisition of a specific vessel asset by a wholly-owned subsidiary.
Key Financial Metrics
The filing text does not provide specific financial metrics such as revenue, profit, cash flow, margins, debt levels, or liquidity ratios. The document focuses exclusively on the legal execution of an asset acquisition.
Material Changes
The primary material change reported is the "Lena Acquisition" completed on September 29, 2017. KNOT Shuttle Tankers AS ("KST"), a wholly-owned subsidiary of the Partnership, acquired all ownership interests in KNOT Shuttle Tankers 26 AS ("KST 26"), the entity that owns the shuttle tanker Lena Knutsen. This acquisition was executed through the following instruments:
- An Addendum to a Share Purchase Agreement dated September 26, 2017.
- An Accession Letter dated September 29, 2017, involving the Partnership, KST, KST 26, and related entities.
- Addendum No. 1 to the Ship Management Agreement for the Lena Knutsen, dated August 9, 2017.
Guidance, Outlook, and Risks
The filing does not contain management commentary, financial guidance, outlook statements, or specific risk factors related to future performance. The document serves as a disclosure of the executed transaction and incorporates the associated legal agreements by reference into a Registration Statement on Form F-3.
Investor Verification Checklist
- Verify the purchase price and funding source for the acquisition of KST 26 (not disclosed in this text).
- Review the attached Exhibits 4.1, 4.2, and 4.3 for specific terms of the Share Purchase Agreement and Ship Management Agreement.
- Confirm the operational status and charter status of the Lena Knutsen following the acquisition.
- Check subsequent filings for the impact of this acquisition on the Partnership's consolidated balance sheet and debt covenants.