Nam Cheong (SGX:1MZ) entered into sales agreements with vessel operators in Indonesia and Egypt to sell two offshore support vessels for $36.7 million, according to a Tuesday filing with the Singapore Exchange.

Shares of the shipbuilder were up nearly 2% in Wednesday trading.

The transactions include a newbuild multi-purpose support vessel and one anchor handling tug supply vessel, which was slated for disposal following a charter contract completion in the first quarter of the year.

The two vessels were delivered in the second quarter.

Proceeds from the divestments will be redeployed to boost the company's shipbuilding activities.