Sale and leaseback

SLB, a financing structure in which an owner sells a ship to a lessor (often a leasing house or bank) and immediately charters it back, usually on a bareboat basis, sometimes with a purchase option at the end. The owner frees the capital tied up in the asset while keeping the ship in service; the lessor holds title as security. SLB has grown as a major source of shipping capital alongside traditional mortgage lending, particularly from Chinese leasing companies.