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SFL agrees tanker sale, estimates ~$275M net cash

After profit share and repayment of associated debt, SFL estimates approximately $275 million in net cash proceeds and an approximately $175 million aggregate book gain.

(Moderate)

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Form Type
6-K

Rhea-AI Filing Summary

SFL Corporation Ltd. agreed to sell four 2014- and 2015-built LR2 product tankers and three 2019-built Suezmax tankers currently on time charters to Trafigura. Deliveries are expected in Q4 2026 and Q1 2027, and the existing charters will terminate when the vessels are delivered.

After profit share and repayment of associated debt, SFL estimates net cash proceeds of approximately $275 million in aggregate and an aggregate book gain of approximately $175 million. Ole B. Hjertaker, Chief Executive Officer of SFL Management AS, said SFL expects to reinvest the proceeds in new accretive investments to build long-term distribution capacity.

LR2 product tankers 4 vessels Agreed sale to Trafigura
Suezmax tankers 3 vessels Agreed sale to Trafigura
Estimated net cash proceeds Approximately $275 million in aggregate After profit share and repayment of associated debt
Estimated aggregate book gain Approximately $175 million SFL's current estimate for the transaction
Expected delivery period Q4 2026 One of the stated delivery periods for the vessels
Expected delivery period Q1 2027 One of the stated delivery periods for the vessels
LR2 product tankers technical
"four 2014- and 2015-built LR2 product tankers"
Suezmax tankers technical
"three 2019-built Suezmax tankers"
Suezmax tankers are a class of crude oil ships sized to be the largest vessels that can pass through the Suez Canal when fully loaded. Think of them like the biggest truck that can still fit under a low bridge—large enough to carry a lot of oil but constrained by a key route. Investors watch them because their availability and operating costs help set shipping capacity and freight rates, which influence oil prices, energy company margins, and shipping company cash flow.
time charters financial
"currently on time charters to Trafigura"
Time charters are contracts in which a ship owner rents a vessel to a renter for a set period of time; the renter directs where the ship goes and pays for fuel and voyage costs, while the owner provides the crew and handles maintenance. Investors care because time charters turn uncertain spot-market sales into more predictable revenue and cash flow, reducing near-term exposure to volatile freight rates—like renting a truck for months instead of selling single deliveries.
profit share mechanism financial
"charter agreements include a profit share mechanism"
book gain financial
"aggregate book gain of approximately $175 million"
An accounting gain recorded on a company’s books when an asset’s recorded value is increased relative to its carrying amount. It commonly arises when proceeds from selling an asset exceed that asset’s carrying (book) value, but can also appear as an unrealized gain when accounting rules require remeasurement to fair value; the term describes what is reported in the financial statements rather than the cash received or the taxable gain, and the recognition and timing depend on applicable accounting standards.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What vessels is SFL selling to Trafigura?

SFL agreed to sell four 2014- and 2015-built LR2 product tankers and three 2019-built Suezmax tankers, which are currently on time charters to Trafigura.

How much does SFL expect to receive from the vessel sale?

SFL estimates approximately $275 million in aggregate net cash proceeds after profit share and repayment of associated debt, and currently estimates an aggregate book gain of approximately $175 million.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Learn about SEC filing dates

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
FORM 6-K
 
REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO
 RULE 13A-16 OR 15D-16 UNDER THE SECURITIES
EXCHANGE ACT OF 1934
 
For the month of October 2026
Commission File Number: 001-32199
 
SFL Corporation Ltd.
--------------------------------------------------------------------------------
(Translation of registrant's name into English)
 
Par-la-Ville Place
14 Par-la-Ville Road
Hamilton, HM 08, Bermuda
--------------------------------------------------------------------------------
(Address of principal executive offices)
 
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F [ X ]     Form 40-F [   ]
 







INFORMATION CONTAINED IN THIS FORM 6-K REPORT

Attached hereto as Exhibit 1 is a copy of the press release of SFL Corporation Ltd. (NYSE: SFL) (“SFL” or the “Company”), dated October 7, 2026, announcing that it has agreed to sell four 2014- and 2015-built LR2 product tankers and three 2019-built Suezmax tankers, currently on time charters to Trafigura, a global leader in the commodities industry.






SIGNATURES
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
 
 
SFL CORPORATION LTD.
Date:October 7, 2026By:/s/ Ole B. Hjertaker
Name: Ole B. Hjertaker
Title: SFL Management AS
(Principal Executive Officer)





EXHIBIT 1


SFL - Sale of four LR2 and three Suezmax tankers, and termination of charters

SFL Corporation Ltd. (NYSE: SFL) ("SFL" or the "Company") today announced that it has agreed to sell four 2014- and 2015-built LR2 product tankers and three 2019-built Suezmax tankers, currently on time charters to Trafigura, a global leader in the commodities industry.

The vessels were acquired in 2021 and 2022, and the charter agreements include a profit share mechanism in the event of a profitable sale. The Company has now agreed to sell the vessels to Trafigura with delivery in Q4 2026 and Q1 2027, and the existing charters will terminate when the vessels are delivered to the buyer.

The sales price per vessel is confidential, but after profit share and repayment of associated debt, the net cash proceeds to SFL is estimated at approximately $275 million in aggregate. The Company currently estimates an aggregate book gain of approximately $175 million from the transaction.

Ole B. Hjertaker, Chief Executive Officer of SFL Management AS, commented: "This transaction demonstrates the intrinsic value of our operating platform. We have enjoyed strong cash flows from the vessels over the last five years, and in addition retained a significant share of the asset value upside, which is crystallizing now. We expect to reinvest the proceeds in new accretive investments that will build our long-term distribution capacity."

October 7, 2026

The Board of Directors
SFL Corporation Ltd.
Hamilton, Bermuda

Investor and Analyst Contacts:
Espen Nilsen Gjøsund, Vice President - Investor Relations, +47 47500500
André Reppen, Chief Treasurer & Senior Vice President, +47 23114055
Aksel Olesen, Chief Financial Officer, +47 23114036

Media Contact:
Ole B. Hjertaker, Chief Executive Officer, SFL Management AS, +47 23114011


About SFL

SFL has a unique track record in the maritime industry and has paid dividends every quarter since its initial listing on the New York Stock Exchange in 2004. The Company’s fleet of vessels is comprised of tanker vessels, bulkers, container vessels, car carriers and offshore drilling rigs. SFL’s long term distribution capacity is supported by a portfolio of long-term charters and significant growth in the asset base over time. More information can be found on the Company's website: www.sflcorp.com.





Cautionary Statement Regarding Forward Looking Statements

This press release may contain forward looking statements. These statements are based upon various assumptions, many of which are based, in turn, upon further assumptions, including SFL management’s examination of historical operating trends, data contained in the Company’s records and other data available from third parties. Although SFL believes that these assumptions were reasonable when made, because assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond its control, SFL cannot give assurance that it will achieve or accomplish these expectations, beliefs or intentions.

Important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward looking statements include the strength of world economies, fluctuations in currencies and interest rates, general market conditions in the seaborne transportation industry, which is cyclical and volatile, including fluctuations in charter hire rates and vessel values, changes in demand in the markets in which the Company operates, including shifts in consumer demand from oil towards other energy sources or changes to trade patterns for refined oil products, changes in market demand in countries which import commodities and finished goods and changes in the amount and location of the production of those commodities and finished goods, technological innovation in the sectors in which we operate and quality and efficiency requirements from customers, increased inspection procedures and more restrictive import and export controls, changes in the Company’s operating expenses, including bunker prices, dry-docking and insurance costs, performance of the Company’s charterers and other counterparties with whom the Company deals, the impact of any restructuring of the counterparties with whom the Company deals, and timely delivery of vessels under construction within the contracted price, governmental laws and regulations, including environmental regulations, that add to our costs or the costs of our customers, potential liability from pending or future litigation, potential disruption of shipping routes due to accidents, political instability, terrorist attacks, piracy or international hostilities, the length and severity of the ongoing coronavirus outbreak and governmental responses thereto and the impact on the demand for commercial seaborne transportation and the condition of the financial markets, and other important factors described from time to time in the reports filed by the Company with the United States Securities and Exchange Commission. SFL disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.


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