29-August-2019
Piraeus based Primerose Shipping’s 2015 built kamsarmax bulk carrier 82K DWT MV Ocean Saga was chartered out for $16,000 per day for around 8 months. All panamax and kamsarmax period tonnage that was taken in 2018 is trading very profitably now, notwithstanding the massive newbuilding order book.
29-August-2019
The struggling panamax segment is bouncing back as ship operators raise the bidding for longer employment. Panamax operators are chartering in tonnage as the period market tries to catch up with a peaking spot market. Panamax spot market is near a three-year high. Last week of August 2019, Japanese kamsarmax newbuilding has been fixed this week straight out of shipyard at $16,000 per day for 12 months. The latest fixture represents a significant increase as the previously lackluster segment continues to improve. Furthermore, Kwang Ming-controlled 2014 built kamsarmax bulk carrier 80K DWT KM Shanghai was fixed at $14,500 per day for 12 months. On the other hand, Athens based Olive Shipmanagement’s 2010 built panamax bulk carrier 79K DWT MV Elinda Mare was fixed $14,000 per day for 7 to 9 months. Copenhagen based Dampskibsselskabet NORDEN A/S was caught long on cargo when Norden fixed in 2019 built kamsarmax bulk carrier 81K DWT JY Hongkong at $15,400 per day for 7 to 9 months. Currently, all period tonnage that was taken in 2018 is trading very profitably now. Last year, German bulker giant Oldendorff and Norwegian Klaveness as players that had acted in time to catch the wave. Panamax and kamsarmax market is generally firming and will keep on as long as you can do period deals at a discount to spot. Panamax FFA (Future Freight Agreement) curve is standing at $16,000 per day for 2020’s trading would be worth it due to long-haul grain cargoes to the Far East. Currently, in the panamax market grain is key cargo. Besides, coal cargoes to China from Australia and Indonesia are just stable now, but China has been sourcing grain from long route East Coast South America which will be pushing panamax market up. End week of August 2019, kamsarmax bulk carriers are fixed at some $18,000 per day in the Pacific spot market. Kamsarmax bulk carriers are fixed around $20,000 per day for East Coast South America to Singapore and India range. First week of September, we might see some corrections in panamax spot market because panamax rates jumped too fast. There are about 250 newbuilding panamax bulk carriers on order in shipyards. Total orders include 75 kamsarmax newbuilding orders for delivery before the end of 2019. Shipowners are discouraged by the newbuilding order book. United States-China trade war is the second reason that triggered panamax bulk carrier spot market. United States-China trade war has increased tonne-miles by moving China’s grain and soybean sourcing from the United States Gulf to Brazil and Argentina. In the panamax and kamsarmax segment, speculative shipowners seem like winners of the market, if panamax and kamsarmax segment remains bullish. In previous years, kamsarmax bulk carriers have been one of the most popular financial investment plays in the dry bulk sector. Bank of Communications Financial Leasing, AVIC International Leasing, ICBC Leasing, and China Development Bank Leasing have unchartered bulk carriers on order in panamax and kamsarmax segment. AVIC International Leasing alone has a reported 12 kamsarmax bulk carriers on order.
28-August-2019
China Merchants Energy Shipping (CMES), a significant entity in Shanghai’s shipping sector, has reported robust results for the first half of the year, buoyed by higher tanker rates. However, the company is cautious about the near-term future due to the ongoing trade tensions between the US and China. China Merchants Energy Shipping (CMES), a subsidiary of the state-owned China Merchants Group, saw its net profits surge by 50% year-on-year to $66.2 million in the January-June period, while revenues climbed by 38.1% to $957 million. China Merchants Energy Shipping (CMES) attributes the positive performance to improved VLCC (Very Large Crude Carrier) markets and growth in its oil tanker fleet. Additionally, the delivery of new very large ore carriers (valemaxes) supported bulker earnings. China Merchants Energy Shipping (CMES) also noted increased investment gains from the operation of LNG carriers it co-owns. Despite these gains, China Merchants Energy Shipping (CMES) expressed concerns about the escalating trade war between the US and China, particularly with Beijing’s impending 5% tariff on US crude imports starting in September. This marks the first inclusion of crude in China’s tariff list against US imports. China Merchants Energy Shipping (CMES) warns that the trade war could hamper the growth of US crude exports, given the limited capacity of Taiwan and South Korea to import US crude. China Merchants Energy Shipping (CMES) also highlighted ongoing geopolitical risks affecting crude production and shipping demand. While supportive factors like IMO 2020 regulations and slowing newbuilding deliveries could benefit tanker markets, concerns about limited scrapping leading to oversupply persist. Looking forward, China Merchants Energy Shipping (CMES) remains cautiously optimistic about the medium-term prospects for oil shipping markets, despite anticipating challenges in the latter half of 2019. China Merchants Energy Shipping (CMES) remains reserved in its outlook for the peak demand season in the fourth quarter, citing various market uncertainties. In the first half of the year, China Merchants Energy Shipping (CMES) transported nearly 36 million tonnes of oil, 32.5 million tonnes of dry bulk cargoes, 11.7 million tonnes of LNG, and 7.84 tonnes of ro-ro cargoes. As of June 30, China Merchants Energy Shipping (CMES) operated a fleet of 215 ships, including oil tankers, LNG carriers, bulkers, car carriers, and ro-ro ships, and holds the title of having the world’s largest fleets of VLCCs and valemaxes.
28-August-2019
Greek shipowner and operator Diligent Holdings became one of Greece’s most significant ship buyers this year. Dimitris Michalos-led Diligent Holdings acquired 2009 built supramax bulk carrier 58K DWT MV Vienna (ex MV Bulk Pegasus) for around $13 million. Athens-based shipowner and operator Diligent Holdings was established in 2011. Diligent Holdings settled a single-ship company for several years before setting out on a fast expansion plan in 2016. Since 2016, Diligent Holdings acquired a fleet of 15 bulk carriers. Greek shipowner and operator Diligent Holdings has been focusing exclusively on Japan-built supramax bulk carriers. Diligent Holdings has become Athens’ second-biggest buyer of the supramax bulk carrier type in 2019. Recently, other Greek shipowners and operators such as Eastern Mediterranean, White Sea Navigation, Load Line Marine, Ecocarriers Maritime Ltd, and Empire Bulkers have acquired supramax bulk carriers.
28-August-2019
Athens-based Pappadakis family-controlled Kassian Maritime sold 2006 built panamax bulk carrier 74K DWT MV Underdog for about $8.5 million. In 2006, MV Underdog was built at Hudong-Zhonghua, China. In March 2017, Kassian Maritime acquired MV Underdog around the same price. Athens-based Kassian Maritime has a fleet of ten (10) bulk carriers. Kassian Maritime has continued to renew its bulker fleet. Kassian Maritime has ordered a panamax bulk carrier at the Japanese shipyard for delivery in 2021.
28-August-2019
Japanese shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) ordered 211K DWT newcastlemax bulk carrier at Japan Marine United (JMU Corp). Tokyo Stock Exchange-listed shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) increased deadweight with lowered bunker consumption of newcastlemax bulk carrier. After delivery in 2021, 211K DWT newcastlemax bulk carrier will be fitted with a scrubber. Japanese shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) will charter out 211K DWT newcastlemax bulk carrier to JFE Steel Corp on a long-term deal. Japanese shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) aims to use 211K DWT newcastlemax bulk carrier for coal transport, where bulk carriers are subjected to harsh corrosion due to the sulphuric acid originating from the sulphuric contents of the coal.
28-August-2019
Greek shipowner and operator Avin International might fully exit the dry bulk market. Avin International sold one of its two panamax bulk carriers. Athens based Avin International sold 2004 built panamax bulk carrier 76K DWT MV Vamos (ex MV Million Trader) for around $9 million. MV Vamos (ex MV Million Trader) was built at Tsuneishi Shipbuilding, Japan in 2006. MV Vamos (ex MV Million Trader) is not due for a special survey (SS) till February 2024. In May 2015, Vardinoyannis family-controlled Avin International acquired MV Vamos (ex MV Million Trader) from Japanese shipowner Nisshin Shipping for around $9 million. After the sale of MV Vamos (ex MV Million Trader), Avin International’s dry bulk fleet is left with 2000 built panamax bulk carrier 74K MV Evangelia. MV Evangelia was built at Sasebo Heavy Industries, Japan in 2000. In March 2013, Avin International acquired MV Evangelia for around $11 million. Avin International is primarily a tanker owner and has a fleet of 32 tankers.
27-August-2019
Klaveness Combination Carriers (KCC) controlled 2019 built 82K DWT MV Baru has performed switch from wet cargo to dry cargo. MV Baru transported petroleum products from India to Argentina. MV Baru discharged petroleum products in Argentina, later on, performed the washing and translation from tanker mode to dry bulk mode for loading grain. Klaveness Combination Carriers’ groundbreaking shift from tanker to bulk carrier mode decreases emissions and ballast time. Currently, MV Baru is en-route to Asia. In Argentina loading port, MV Baru passed all the stringent cleaning inspections. According to Klaveness Combination Carriers, CLEANBU type ships supplement practical trading with minimum ballast time, notable savings in fuel consumption, and emissions. According to Klaveness Combination Carriers calculations, CLEANBU type ship fuel savings are around 1,200 metric tonnes of bunkers. Currently, Klaveness Combination Carriers’ CLEANBU fleet consists of two (2) ships.
27-August-2019
Copenhagen based shipowner and operator Lauritzen Bulkers trims owned fleet further. Lauritzen Bulkers sold 2011 built 31K DWT MV Hedvig Bulker for about $10.3 million to Taylor Maritime. Hong Kong-based Taylor Maritime operates a homogenous fleet of high-quality Japanese handysize dry bulk carriers. MV Hedvig Bulker was built at Hakodote Shipyard, Japan in 2011. Danish Lauritzen Bulkers was a gigantic player in the handysize market, but the company has trimmed its own fleet. Lauritzen Bulkers sold nine (9) handysize bulk carriers in 2018. Since the beginning of July 2019, Lauritzen Bulkers also sold 2010 Japanese built 31K DWT MV Emma Bulker and MV Louise Bulker to Taylor Maritime for about $9.5 million each.
27-August-2019
Singaporean bulk shipowner Dry Bulk Singapore is looking to arrest a Taiwanese-owned 2011 built 58K DWT MV Eternity SW in Virginia after its charter was terminated earlier this summer. Singapore based Dry Bulk Singapore filed a lawsuit in the United States Eastern District of Virginia Federal Court. Dry Bulk Singapore has filed a lawsuit against Dong Lien Maritime SA Panama, which is a subsidiary of Shih Wei Navigation. Dry Bulk Singapore is accusing of abruptly canceling its time charter while MV Eternity SW was discharging cargo in Quebec, Canada in July, 2019. Neither Shih Wei Navigation nor Dong Lien Maritime SA were labeled as defendants, only the ship MV Eternity SW, whose registered owner is Eternity Pescadores SA Panama. MV Eternity SW had been chartered to Dutch risk management firm 24Vision Chartering Solutions in 2018. Later on, MV Eternity SW was sub-chartered to Dry Bulk Singapore in April 2018. 24Vision Chartering Solutions had a three (3) day grace period to pay the agreed hire. On 11 July 2019, Dong Lien Maritime SA notified Dry Bulk Singapore that 24Vision Chartering Solutions had defaulted on the charter. Later on, Dong Lien Maritime SA canceled period charter and removed MV Eternity SW from Dry Bulk Singapore’s chartering service. Dry Bulk Singapore suffered monetary damages and lost profits. Panamanian-flagged Eternity SW is currently ballasting to Norfolk, Virginia. Eternity SW is insured by Britannia P&I.
27-August-2019
South Korean shipowner and operator Sinokor Merchant Marine sold 1992 built vintage ore carrier 243K DWT MV Atlantic Merchant for demolition in Bangladesh, for around $405 per ldt (lightweight displacement tonnage) or around $15 million. In September 2012, Sinokor Merchant Marine acquired MV Atlantic Merchant (ex MV General) for around $12 million from HOSCO (Hebei Ocean Shipping Co). In April 2019, Sinokor Merchant Marine sold 1999 built capesize bulk carrier the 171K DWT MV Silver Geneva for demolition for about $475 per ldt (lightweight displacement tonnage). At the beginning of August, Sinokor Merchant Marine tried to sell three (3) container-ships for demolition, but the deal has not gone through yet.
26-August-2019
Montreal based Canada Steamship Lines (CSL), which is currently the world’s largest owner and operator of self-unloading ships, has revealed that its joint venture with German shipowner Hans-Jurgen Hartmann has exercised an option for a second newbuilding at Chengxi Shipyard, China. Canada Steamship Lines (CSL) is led by Louis Martel. After six years, Canada Steamship Lines (CSL) returns to China for self-unloaders newbuilding. Self-unloaders are a niche market with limited charterers. Montreal based Canada Steamship Lines (CSL) found a suitable tie-up with German shipowner Hans-Jurgen Hartmann’s aggregates trading group Mibau Stema which is an offshoot of Hartmann’s Denmark-based Stema Shipping. After exercising the second newbuilding option, Canada Steamship Lines (CSL) and Hartmann jointly have two new-buildings on order at Chengxi Shipyard, China. Two (2) self-unloader new-buildings 40K DWT are due for delivery in July 2020 and June 2021 for the account of Mibau Stema Shipping. Hartmann’s aggregates trading group Mibau Stema Group is one of the largest heavy-construction materials suppliers in Northern Europe. Mibau Stema Group’s shipping arm Mibau Stema Shipping is carrying more than 10 million tonnes per year in the North Sea and Baltic Sea. North Sea and Baltic Sea is a sort of niche market opportunity for Canadian shipowner Canada Steamship Lines (CSL) which foresees limited growth prospects in the Great Lakes. Canada Steamship Lines (CSL) has developed new markets in North America, Australia, and Europe through the years. In 2018, Canada Steamship Lines (CSL) took a 50% stake in Eureka Shipping as a joint venture with Cyprus based SMT Shipping Group. Eureka Shipping is in the cement shipping business. Canada Steamship Lines (CSL) and SMT Shipping Group joint venture will combine the expertise, resources, and technologies of two strong companies. Montreal based Canada Steamship Lines (CSL) has a fleet of 44 ships which comprise of self-unloaders, conventional geared bulk carriers, and transshipment vessels.
25-August-2019
Arrested Russian handysize bulk carrier in January 2019, is going to be auctioned in the United States. United States Marshall is selling 2007 built handysize bulk carrier 23K DWT MV Pomorye which is owned by Murmansk Shipping Company (MSCO). The current market price of MV Pomorye is around $10 million. United States Marshall reserve price and the opening minimum bid is $2.5 million. MV Pomorye sale is following to the United States court order made as a result of non-payment of a fee during a call in New Orleans in April, 2018. MV Pomorye was arrested in New Orleans in May, 2018. Russia based Murmansk Shipping Company (MSCO) has been hit by a series of ship arrests.
25-August-2019
In February 2019, a court hearing has been scheduled in Bermuda to wind up the Old Noble Group following its $3.5 billion debt restructuring. Noble Group explained that the liquidation is a procedural process. Singapore based trader and bulk carrier owner Noble Group was financially restructured at the end of 2018. New Noble Group is being formed with substantially all of the assets and business of Old Noble Group being transferred. Old Noble Group now has no business or significant debts. Noble Group explained that the liquidation of Old Noble Group will have no impact on the business or financial status of New Noble Group. Noble Group’s Creditors have taken over 70% of the New Noble Group entity, with 20% held by shareholders of the Old Noble Group and 10% by the management. Noble Group’s bond and bank debt had fallen into default and sold some of its dry cargo fleet over 2018.
25-August-2019
South Korean shipowner and operator Polaris Shipping is switching its stock listing from Singapore to Oslo. Polaris Shipping believes Norwegian listing will give the company higher value as investors understand shipping markets better than in Singapore. Polaris Shipping has already met with a few securities companies in the Norwegian capital Oslo. According to Polaris Shipping, Singapore is relatively small and the valuation of shipping companies is low. Polaris Shipping has been looking to be listed in Oslo since 2013. However, Polaris Shipping’s plans were foiled due to deteriorating financial markets and the sinking of MV Stellar Daisy. 1993 built VLOC (Very Large Ore Carrier) 266K DWT MV Stellar Daisy which is converted to VLOC (Very Large Ore Carrier) from a tanker, sink off Uruguay in 2017 with the loss of 22 seafarers. South Korean shipowner and operator Polaris Shipping is led by Kim Wan-Joong Financial market sources have expressed their concerns over whether an IPO (Initial Public Offering) will succeed as shipping companies’ shares are trading at a significant discount. Shipping market cite concerns over Polaris Shipping continued use of older VLOCs (Very Large Ore Carriers) which were converted from VLCCs (Very Large Crude Carriers). Furthermore, in the fleet of Polaris Shipping, fourteen (14) ore carriers were built before 2000. Korean Development Bank has already been a major financier of the Polaris Shipping’s new fleet. Korean Development Bank finance most of Polaris Shipping’s new-building projects that is around $1 billion. South Korean shipowner and operator Polaris Shipping was established in 2004. Currently, Polaris Shipping’s trading fleet of 34 bulk carriers is worth more than $1 billion. Furthermore, Polaris Shipping’s 18 new-building ships are worth around $1.4 billion.
25-August-2019
Singapore’s High Court sold 2012 built handymax bulk carrier 37K DWT MV Long Bright. MV Long Bright was controlled by Highrich Logistics. MV Long Bright was built at Shandong Huahai Shipbuilding, China in 2012. MV Long Bright has spent over a year in lay-up and its certifications have expired. MV Long Bright was arrested in March 2018 by Singapore’s DP Shipbuilding & Engineering over an unpaid repair bill. Later on, a Chinese bank had taken control of MV Long Bright together with a sister ship MV Long Glory. Hong Kong-based Highrich Logistics acquired MV Long Bright and MV Long Glory as part of a deal from Shandong Huahai Shipbuilding, China. MV Long Bright and MV Long Glory had originally been ordered in 2006 by Sider Navi.
23-August-2019
Japanese shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) ordered new eco-friendly heavy-lift ships at Jinling Shipyard. Jinling Shipyard is under the control of China Merchants Industry Holdings, part of state conglomerate China Merchants Group. Tokyo Stock Exchange-listed shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) eyes a competitive edge with eco heavy-lift orders in China. Japanese shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) renews its fleet with the new building order at Jinling Shipyard for next generation, energy-saving two (2) 12K DWT new building eco-friendly heavy-lift ships. Tokyo-based shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) will take the delivery of two (2) 12K DWT new building eco-friendly heavy-lift ships in August 2021 and January 2022. NYK Bulk (Nippon Yusen Kabushiki Kaisha) has two (2) options. The NYK Group subsidiary NYK Bulk (Nippon Yusen Kabushiki Kaisha) expressed the new building eco-friendly heavy-lift ships are part of NYK Bulk’s (Nippon Yusen Kabushiki Kaisha) fleet renewal programme. The NYK Group subsidiary NYK Bulk (Nippon Yusen Kabushiki Kaisha) has been looking to replace 1994 built heavy-lift ship 9K DWT MV Kibi (built 1994) and 1998 built heavy-lift ship 9K DWT MV Kamo for several years. Currently, the NYK Group subsidiary NYK Bulk (Nippon Yusen Kabushiki Kaisha) controls about 40 heavy-lift ships. NYK Bulk (Nippon Yusen Kabushiki Kaisha) controlled 40 heavy-lift ships that were all built in Japan. Jinling Shipyard has adequate experience in assembling heavy-lift ships. NYK Bulk (Nippon Yusen Kabushiki Kaisha) has been witnessing increasing heavy-lift ship companies ordering their vessels in China. NYK Bulk (Nippon Yusen Kabushiki Kaisha) ordered two (2) 12K DWT new building eco-friendly heavy-lift ships with two (2) 400-tonne cranes that are capable of lifting 800 tonnes of cargo. NYK Bulk (Nippon Yusen Kabushiki Kaisha) ordered two (2) 12K DWT new building eco-friendly heavy-lift ships according to Energy Efficiency Design Index phase 3 prerequisites. Japanese shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) was formed through the merger of NYK Global Bulk and Hinode Line. Currently, YK Bulk (Nippon Yusen Kabushiki Kaisha) operates a fleet of 157 ships.
22-August-2019
Athens-based George Economou-led shipowner and operator DryShips seems near an end after 14 years, leaving a legacy that, overall, is considered as corrective to shipping. George Economou-led shipowner and operator DryShips listed the New York IPO (Initial Public Offering) in 2005. In 2006, dry bulk shipowner and operator DryShips produced overblown returns to investors, even shortly becoming the largest US-listed shipowner by market capitalization. However, George Economou-led shipowner and operator DryShips had a lot of corporate-governance protests, shareholder cases, US Securities and Exchange Commission subpoenas, massive equity-value destruction, and, eventually, the perception that it profited few but George Economou himself. Athens-based George Economou-led shipowner and operator DryShips’ public life approached an end in Wall Street. George Economou will buy out the remaining 17% of DryShips’ shares not already under his management. Currently, DryShips’ fleet is worth $454 million. Furthermore, DryShips has capesize newbuilding order that is valued at around $52 million and DryShips’ 100% stake in Connecticut pools operator Heidmar, which is worth a calculated $34 million. This calculation does not comprise nine (9) bulk carriers financed through sale-and-leaseback trades that are worth a combined $321 million. Therefore, this calculation puts the DryShips’ NAV (Net Asset Value) at approximately $674 million. Considerable New York financial community will not be unhappy to witness DryShips go private. Unfortunately, Athens-based George Economou-led shipowner and operator DryShips had corporate-governance failures that cause it challenging for the entire shipping industry to function efficiently in Wall Street. George Economou-led shipowner and operator DryShips was unimaginable to examine for years and, unfortunately, is the poster child for corporate-governance negligences that make it challenging for the entire shipping industry to function efficiently in the capital markets. Greek shipowner and operator DryShips’ IPO (Initial Public Offering) on the Nasdaq Exchange in February 2005 was a shipping milestone in many forms. Greek shipowner and operator DryShips raised nearly double the planned funds. Some analysts’ estimations had DryShips pricing 50% higher than its NAV (Net Asset Value) at the time. Investors didn’t have exposure to dry bulk shipping. In 2005, it was the right arrangement at the right time and George Economou knew how to sell it. After George Economou-led shipowner and operator DryShips’ IPO (Initial Public Offering) in 2005, eleven (11) international shipowners sold IPOs (Initial Public Offerings) at the Wall Street and seven (7) of them were Greek shipowners. In September 2007, the boom in the dry bulk market rocketed George Economou-led shipowner and operator DryShips’ stock to $131 each. DryShips became the biggest New York-listed stock by market capitalization, outperforming respected goliaths shipowners such as Overseas Shipholding Group (OSG) and John John Fredriksen-backed Frontline. No other shipping company has ever been traded more than DryShips. In September 2014, George Economou-led shipowner and operator DryShips had lost 88% from its $18 IPO (Initial Public Offering) pricing. In, Nasdaq-listed shipowner and operator DryShips commenced an association with a financial company called Kalani Investments that, according to allegations in a pending US shareholder lawsuit, compelled DryShips to lose 99.9% of DryShips’ shares’ values. George Economou-led shipowner and operator DryShips has refuted allegations of shareholder fraud, expressing that DryShips disclosed all elements of equity sales and following reverse stock splits in public securities filings. Nasdaq-listed shipowner and operator DryShips has summoned that the lawsuit is dismissed for lack of merit. Kalani’s case was dismissed by a federal judge in New York in August for lack of evidence. Both DryShips and Top Ships continue to collaborate with US Securities and Exchange Commission (SEC) subpoenas over the Kalani dealings.
21-August-2019
Following a brief slowdown earlier in the month, the sale and purchase market has regained momentum, with renewed optimism evident across both the bulk carrier and tanker segments. Asian buyers have led the latest wave of transactions, while European buyers are expected to increase their presence in the coming week. The dry bulk market has managed to sustain solid performance beyond the traditional summer peak, with last week delivering notable gains across multiple vessel classes. This uptick in spot earnings has quickly fed into the period market, boosting activity and firming rate expectations, with charterers largely preferring shorter-term commitments. Key transactions include CDB Leasing, the leasing arm of China Development Bank, acquiring four kamsarmax bulk carriers—2011-built MV Grand Alma, MV Grand Amanda, and 2012-built MV Grand Annabelle and MV Grand Marcia—from HNA-controlled Grand China Logistics for an undisclosed price, with all ships bareboat chartered to Shanghai Steel. Minsheng Financial Leasing purchased the 2015 Japanese-built 81,000 DWT kamsarmax bulk carrier Key Pacifico from Japanese shipowner Yamamaru Kisen for approximately $24m, and Nippon Yusen Kaisha (NYK) sold its 2000-built 91,400 DWT post-panamax bulk carrier MV Lily Fortune to Chinese buyers for about $7m. On the tanker side, VLCC earnings have surged above $40,000 per day in some cases, supporting a strengthening suezmax segment. Italian shipowner and operator Amoretti Armatori Group acquired the 2013-built MT Alice and 2012-built MT Ami from Swedish shipowner Rederi AB Gotland for $40 million en bloc. Athens-based bulker and tanker shipowner and operator Centrofin Management Inc., under the leadership of Greek shipping magnate Dimitris Procopiou, has been particularly active in the tanker market, selling two 2000-built 299,000 DWT sister VLCCs, MT Kalymnos and MT Cerigo, to undisclosed buyers for conversion at $25m each. In parallel, Greek shipowner and operator Centrofin Management Inc. has expanded its MR2 tanker fleet with the acquisition of the 2009 Chinese-built 46,800 DWT MT FPMC 19 from Taiwanese shipowner and operator Formosa Plastics for $11.3m, marking the fourth MR2 tanker purchase from Formosa Plastics in 2025 after acquiring MT FPMC P Eagle, MT FPMC P Fortune, and MT FPMC P Glory. Centrofin Management Inc., which manages its fleet through its subsidiaries Marine Trust and Trust Bulkers, currently operates 24 tankers and 19 bulk carriers, with an active newbuilding program including suezmax tankers at Samsung Heavy Industries and kamsarmax bulk carriers at Hengli Heavy Industry. Founded by Dimitris Procopiou, a prominent figure in Greek shipping, the company is recognized for its diversified fleet strategy, opportunistic S&P (Sale and Purchase) activity, and strong presence in both crude and product tanker trades as well as the dry bulk sector, maintaining a significant footprint in the global shipping market.
21-August-2019
Denmark-based shipowner and operator Navision Group has been disclosed as the buyer behind the Nippon Yusen Kaisha (NYK) supramax bulk carrier, marking a renewed push by the Danish outfit into owned tonnage. The identity of the purchaser of the 51,000 DWT supramax bulk carrier MV Tremola (ex MV Las Tortolas)—a ship sold by Nippon Yusen Kaisha (NYK) in June for approximately $12.3 million—has now been confirmed, with the vessel officially transferring into the hands of Navision Group. Following the transaction, the 51,000 DWT supramax bulk carrier MV Las Tortolas has been renamed MV Tremola and is now fully integrated into Navision Group’s expanding dry bulk fleet. The supramax bulk carrier MV Tremola (ex MV Las Tortolas) fits seamlessly into the evolving fleet structure of Navision Group, which continues to emphasize ships in this weight range and vessels extending down into the handysize category, allowing the group to maintain commercial flexibility across a broad range of regional cargo patterns. Navision Group, headquartered in Denmark and active across multiple dry bulk segments, has deliberately shaped its identity as a hands-on, operationally efficient shipowner and operator with a lean and agile fleet model. Over the past decade, Navision Group has positioned itself as a selective investor in mid-sized tonnage, typically preferring Japanese-built bulk carriers known for reliability, strong residual values, and predictable technical performance. By focusing on supramax and handysize ships, Navision Group preserves the ability to pivot quickly between Atlantic and Pacific trades, adapt to shifting commodity flows, and serve both major charterers and niche cargo operators. Navision Group’s business philosophy places strong emphasis on prudent capital allocation, careful timing of ship acquisitions, and close monitoring of global freight cycles. The group has historically combined chartered-in ships with a compact core of owned vessels, a structure that enables Navision Group to scale its presence in the dry bulk market without committing to excessive long-term risk. Its ability to execute asset play moves—such as its previous sale of a Japanese-built supramax bulk carrier two years ago—has been a defining element of its commercial strategy, demonstrating disciplined market entry and exit timing. In addition to commercial agility, Navision Group is recognized for maintaining rigorous technical standards across its fleet. The group typically prioritizes vessels with strong maintenance histories and invests in voyage optimization practices, fuel-efficiency monitoring, and compliance-driven operational upgrades. These attributes have helped Navision Group uphold a reputation for reliability among charterers and strengthen its long-term commercial partnerships. The reacquisition of an owned supramax bulk carrier through the purchase of the MV Tremola (ex MV Las Tortolas) signals a strategic re-entry into long-term asset control for Navision Group, marking an important shift after a two-year absence from direct shipowning. The move reinforces the Denmark-based shipowner and operator’s goal of building a balanced and resilient fleet capable of weathering market volatility while sustaining earnings through both chartering activity and well-timed asset investments.
20-August-2019
As the global milieu becomes trepidatious, London-based the world’s biggest shipbroker Clarksons exhibits a cautious stance, contemplating the impediments that might mar the anticipated revival. Though hopeful of a resurgence in 2020, an impending economic contraction may contest this prediction. While not prognosticating an economic downturn, London-listed shipbroker Clarksons did sound an alarm this Tuesday.Clarksons revealed in an analytical paper that a mere deceleration of the global GDP growth to 2% could plummet the rates of capesize bulkers to a mere $12,000 daily, and panamax boxships might tumble to $8,000, consequently hampering the forecasted tanker rally spurred by International Maritime Organization (IMO) 2020 emission standards. “Our foundational assumption remains unwavering,” the report opined, penned by distinguished analysts Frode Morkedal, Erik Hovi, and Henriette Vevstad of Clarksons Platou Securities in Oslo. “Yet, the prevailing investment climate might exhibit reservations. Although the prospective rates hover marginally below many shipowners’ financial equilibrium, past downturns have occasionally surpassed anticipated severities.” Recent geopolitical tensions, such as the escalating trade discord between the United States and China, coupled with whispers of economic stagnations in nations including Germany and the United Kingdom, and the ominous inversion of the yield curve for 10-year and 2-year U.S. Treasury bonds - a quintessential precursor to an economic lull - have ignited apprehensions of an imminent recession. Maritime equities have indeed faced tribulations due to these trade skirmishes; however, several indices from the Baltic Exchange have witnessed a revival recently. The anticipation remains that a restrained order book shall maintain a balanced supply. If the shadows of recession materialize, as many economic savants speculate, the demand for boxships may plummet from Clarksons’ envisioned 6.7% to a scant 1%, bulkers from an optimistic 4.3% to a mere 0.9%, and tankers might dwindle from 7.7% to 5.1%, leading to a stark decline in utilization rates across the board. While tankers and boxships might find solace in OPEC’s strategic reductions and decelerated steaming respectively, the rates will inevitably suffer. Bulk shipowners, Clarksons postulated, may find fortune elusive, primarily due to diminished demand for iron ore impacting trading distances. London-based the world’s biggest shipbroker Clarksons maintains unwavering faith in its foundational projection, anticipating rates for VLCCs soaring to $60,000 daily, panamax containerships reaching $14,600 per day, and capesize bulk carriers attaining $18,300, amid an upswing in international commerce, demand, and vessel utilization. In the ominous shadows of a recession, London-listed shipbroker Clarksons advises discerning investors to set their sights on the industry’s titans.
20-August-2019
Grieg Star has taken a significant step in its fleet management strategy by selling an aged handymax bulk carrier for environmentally conscious recycling, while simultaneously enhancing its fleet through its sister company GriegMaas with the acquisition of a newer vessel. The ship sold for recycling is the MV Star Fuji, a 40K DWT geared bulk carrier built in 1985. It was delivered to the EU-approved Leyal Ship Recycling yard in Aliaga, Turkey, for green recycling. Over its 34-year lifespan, this South Korean-built open-hatch bulker is estimated to have sailed approximately 2.5 million nautical miles, equivalent to over 150 trips around the equator. Concurrently, GriegMaas welcomed a new addition to its fleet with the ultramax bulk carrier MV Star Damon, a 63K DWT ship built in 2012. This ship, which was acquired from Celsius Shipping of Denmark for a reported $16.9 million in early June, is set to replace Star Fuji in the G2 Ocean pool. Leyal Ship Recycling, a facility known for its commitment to environmentally responsible shipbreaking practices, previously dismantled another ship from Grieg Star, the 43K DWT geared bulker MV Star Gran, built in 1986. This decision to recycle the ship in Turkey rather than in the Indian subcontinent resulted in a significantly lower price for Grieg Star, demonstrating their commitment to sustainable practices despite financial considerations. This latest development marks a shift in Grieg Star’s approach to ship disposal. Historically, the company preferred Chinese shipbreaking yards for demolishing their vessels, with the last ship sold for demolition before MV Star Gran occurring in 2016. This move towards greener recycling practices reflects an increasing industry focus on environmental responsibility and sustainable operations.
19-August-2019
Norwegian shipowner 2020 Bulkers took delivery of its first scrubber-fitted newcastlemax bulk carrier new-building in early August. Additionally, Norwegian shipowner 2020 Bulkers will take delivery of another five (5) scrubber-fitted newcastlemax bulk carrier new-buildings through January 2020. Scrubber-fitted newcastlemax bulk carrier new-buildings places Norwegian shipowner 2020 Bulkers in a strong position to benefit from the impact of IMO (International Maritime Organization) 2020 low-sulfur regulation. 2020 Bulkers has already chartered out two (2) scrubber-fitted newcastlemax bulk carriers at a 35% premium to the Baltic cape rate.
19-August-2019
Athens-based George Economou-led shipowner and operator DryShips will pay around $76 million in taking DryShips into private ownership. Greek shipowner and operator DryShips’s BOD (Board of Directors) has endorsed a merger deal between the Nasdaq-listed George Economou-led shipowner and operator DryShips and George Economou-backed SPII Holdings. George Economou-backed SPII Holdings will obtain the 14.5 million Nasdaq-listed DryShips shares that SPII Holdings does not already own for $5.25 each in cash. Previously, George Economou-backed SPII Holdings owned 72.4m shares or 83.35% of Nasdaq-listed George Economou-led shipowner and operator DryShips. SPII Holdings’ merger is anticipated to complete in Q4 2019 and is subject to approval by DryShips’ shareholders.
19-August-2019
Montreal-based shipowner and operator Fednav, led by CEO Paul Pathy, takes pride in maintaining a substantial asset base, contrary to the trend of operating with lighter assets favored by many in the volatile shipping market. Currently, Fednav’s fleet has expanded to 125 bulk carriers, with 64 owned outright and the remainder under long-term charters, primarily from Japanese shipowners. This approach allows Fednav to maintain significant control over its operations, a necessity for meeting charterers’ needs, as highlighted by CEO Paul Pathy. Paul Pathy noted that while many shipowners opt for short-term charters to match with secured cargoes, Fednav adopts a longer-term perspective, securing excellent ships at competitive rates for extended periods. This strategy involves substantial financial commitments, positioning Fednav to quickly capitalize on market upswings due to its fixed-cost, reasonably priced fleet. In a recent development, Fednav is adding 15 newbuildings to its fleet over the next three years, continuing its tradition of strong ties with Japanese shipbuilding. Among these, the MV Federal Montreal, a 34K DWT handysize bulk carrier, is soon expected to join the fleet as Fednav’s 65th owned vessel, marking its 75th anniversary. Despite the inherent risks of long-term charters, which Fednav embraces as speculative without immediate cargo guarantees, the company benefits from its strategic asset management during market fluctuations. As Fednav remains a private entity, it enjoys the flexibility to navigate market dynamics without the pressure of public financial disclosures, allowing it to focus on long-term operational stability and capitalizing on regulatory changes like IMO 2020. Paul Pathy also highlighted the anticipated impact of fuel price increases on shipping rates, noting that more expensive fuel would slow ships down and effectively reduce market capacity. Fednav has prepared for the shift to low-sulfur bunkers, opting against installing scrubbers on its vessels. This approach, along with its modern fleet of primarily Japanese-built bulk carriers, underscores Fednav’s commitment to both operational efficiency and environmental compliance.
18-August-2019
Nasdaq-listed shipowner and operator Eagle Bulk Shipping (EGLE) moved its office from Hamburg to Copenhagen. Eagle Bulk Shipping (EGLE) thinks that Copenhagen is the ideal place for bulk carrier chartering operations. Eagle Bulk Shipping (EGLE) has offices in Connecticut, Singapore, and Copenhagen. Currently, Eagle Bulk Shipping (EGLE) owns and operates 27 supramax bulk carriers and 19 ultramax bulk carriers.
18-August-2019
Danish shipowner and operator Dampskibsselskabet DS Norden A/S has secured a contract of affreightment (CoA) to ship wood pellets across the Atlantic for charterers Enviva. Copenhagen based shipowner and operator Norden has been in an expansion of its relationship with charterers Enviva. Currently, Enviva is the world’s largest wood pellet producer and started wood pellet exports from Pascagoula. 2021 to 2026 contract of affreightment (CoA), shipowner Norden will transport between around 1.5 million tons of wood pellets from the United States to Europe. Shipowner and operator Dampskibsselskabet DS Norden A/S and Enviva have been dealing since 2012 and the latest CoA cemented their good relationship. Shipowner Norden is led by CEO Jan Rindbo. Dampskibsselskabet DS Norden A/S will carry wood pallets with supramax bulk carriers. CEO Jan Rindbo stated that collaboration with Enviva has enabled Norden to play a leading role in the fast-growing market for sustainable wood bioenergy, as an increasing number of electric power generating plants convert from coal to wood pellets in order to reduce their lifetime carbon emissions. Previously, Norden signed a separate three-year contract of affreightment (CoA) with Enviva. Dampskibsselskabet DS Norden A/S will transport coal from Indonesia to Hong Kong for Enviva. Coal contract of affreightment (CoA) will cover the period from 1 January 2020 to 31 December 2022. Dampskibsselskabet DS Norden A/S will transport around 1.3 million tons of coal per year on panamax bulk carriers from Indonesia to Hong Kong for Enviva.
17-August-2019
Bermuda-registered, Norway-based dry bulk shipping company Golden Ocean Group has quadrupled its quarterly dividend payment as earnings surpassed expectations. John Fredriksen-backed shipowner Golden Ocean Group will pay a cash dividend of $0.10 per share for Q2 2019. Dry bulk shipowner Golden Ocean Group announced the improved dividend was based on positive shipping market circumstances rather than the company’s financial results. Golden Ocean Group accused plummeting interest rates for the derivatives loss, which corresponded with a period of increased operating expenses. Furthermore, Golden Ocean Group’s derivatives losses coincided with a drydocking schedule, which boosted fleet operating expenses. However, Golden Ocean Group accomplished to curb the influence of the weak capesize market by producing an average TCE (Time-Charter Equivalent) rate above the Baltic Dry Capesize Index. In Q2 2019, Oslo-listed dry bulk shipping company Golden Ocean Group reported an adjusted Ebitda of $21.5 million. Golden Ocean Group anticipates the forthcoming IMO (International Maritime Organization) 2020 regulations to absolutely influence the dry bulk shipping market by making shipowners of new, fuel-efficient fleets more competitive. Lately, dry bulk shipowner Golden Ocean Group signed a contract with Trafigura and Frontline to set a joint venture for the supply of bunker. In April 2019, Norway-based dry bulk shipping company Golden Ocean Group invested in Peter Weernink-led Singapore Marine. John Fredriksen-backed shipowner Golden Ocean Group has acquired a 15% ownership stake in Singapore Marine.
15-August-2019
Restructured South Korean shipowner and operator (previously STX Pan Ocean) Pan Ocean dodged the collapse in dry cargo rates in the Q2 with only a mediocre year-on-year decline in net profit. Seoul-based shipowner and operator (previously STX Pan Ocean) Pan Ocean reported a net income of $30 million for Q1 2019. South Korean shipowner and operator Pan Ocean reported revenue of $528 million for Q1 2019. Seoul-based shipowner and operator (previously STX Pan Ocean) Pan Ocean clarified that the continuing US-China trade war also diminished demand for shipping.
15-August-2019
New York-listed Pangaea Logistics Solutions has reported a $4 million profit in Q2 2019 versus a $5.8 million profit in Q2 2018. Pangaea Logistics Solutions has reported less profit in the turbulent dry bulk shipping market. Pangaea Logistics Solutions has reported an $83 million revenue in Q2 2019 versus a $96 million profit in Q2 2018. Nasdaq-listed dry bulk shipowner and operator Pangaea Logistics Solutions expanded its fleet by ordering two (2) newbuilding and buying three (3) second-handy bulk carriers. Dry bulk shipping markets have expressed remarkable resiliency since hitting lows in early 2019, but Pangaea Logistics Solutions remain cautious of the risks of uncertain times in international trade.
14-August-2019
Hong Kong-based shipowner and operator Wah Kwong Maritime Transport Holdings Limited CEO (Chief Executive Officer) David Palmer retires after serving for 43 years at the company. David Palmer will step down in September 2019. David Palmer plans to be in non-executive positions. David Palmer’s is well timed to coincide with organizational changes at Hong Kong-based shipowner and operator Wah Kwong Maritime Transport Holdings Limited. Wah Kwong Maritime Transport Holdings Limited will be split into two divisions shipowning and ship management. Furthermore, Hing Chao will take over from Sabrina Chao as chairman of Wah Kwong Maritime Transport Holdings Limited. David Palmer’s retirement will allow the organization to tackle the challenges and opportunities. David Palmer stated that human relationships are the aspect of his career that he will cherish most.
14-August-2019
Wilhelmsen Ship Management, a prominent player in the ship management industry, has successfully secured a new management contract for two supramax bulk carriers from Kristin Tidemand’s Stove Shipping. The vessels involved in this deal are the MV Stove Tide and MV Stove Friend, both 57K DWT and built-in 2016, which are currently on charter from Phoenix Co of Japan. These ships will now be managed by Wilhelmsen Ship Management’s team based in Singapore. This latest agreement strengthens the long-standing partnership between Stove Shipping and Wilhelmsen Ship Management, which is part of the Oslo-listed Wilhelmsen group. The two companies have been collaborating for a decade, showcasing a strong and enduring business relationship in the maritime sector. With this new deal, Wilhelmsen Ship Management continues its growth trajectory, having secured contracts for over 40 new ships for technical management in the current year alone. This expansion reflects the company’s positive outlook on the future of the ship management industry, buoyed by improved sentiment in specific market segments. In addition to growing its presence in the managed bulk carrier fleet, Wilhelmsen Ship Management is also making strides in expanding its portfolio in the gas fleet sector. This diversification and growth underscore Wilhelmsen’s commitment to adapting to market demands and strengthening its position as a leading global ship management service provider.
12-August-2019
Nasdaq-listed shipowner and operator Eagle Bulk Shipping (EGLE) reported a $750 million shelf filing. A shelf filing does not mean an additional equity raise for Eagle Bulk Shipping (EGLE) is pending. A shelf filing states in the filing any cash from the future securities sales would go towards bulk carrier acquisitions and debt reduction. Eagle Bulk Shipping (EGLE) is planning to acquire four (4) bulk carriers from Nautical Bulk Holdings and two (2)more from another shipowner as part of a $122 million deal. Eagle Bulk Shipping (EGLE) issued $115 million in convertible notes to support the deal.
12-August-2019
SR Shipping, a prominent bulk carrier company based in Bangladesh and a division of Kabir Steel, expanded its fleet with the purchase of its first bulk carrier in several years. The company spent $10 million to acquire the MV Iris Halo, a 13-year-old, 56K DWT supramax bulk carrier, previously owned by Japan’s Mizuho Sangyo. This addition brings SR Shipping’s fleet to a total of 11 vessels, which includes five supramax and six handymax bulk carriers. SR Shipping is a key part of the Kabir Steel Group, which also oversees Brave Royal Shipping, a rapidly growing company in Bangladesh, the world’s most densely populated country.
12-August-2019
Bangkok-listed Thoresen Thai Agencies’ (TTA) subsidiary Thoresen Shipping has reported a net income of THB 85 million ($2.7 million) in Q2 2019 versus the THB 270 million in Q2 2018. In other words, Thoresen Shipping sees net profit shrink by almost 70% due to the decline in dry bulk freight rates. Thoresen Shipping optimistic that dry bulk freight rates will improve. Due to Thoresen Shipping’s expanded chartered-in bulk carriers, freight revenues for the Q2 2019 were increased to THB 1.4 billion. In Q2 2019, Thoresen Shipping reported average TCE (Time Charter Equivalent) fall to $9,385 per day per ship. According to Bangkok-listed Thoresen Thai Agencies’ (TTA) subsidiary Thoresen Shipping, BDI (Baltic Dry Index) is expected to continue in an upward trend. Dry bulk shipping analysts expect a gradual re-balance of fundamentals in the dry bulk sector. Dry bulk shipping supply growth is assumed to be limited by the approaching IMO (International Maritime Organization) 2020 sulfur regulations. Currently, Thoresen Shipping controls 21 bulk carriers.
12-August-2019
One of the world’s largest supramax bulk carrier operators Western Bulk Chartering (WBC) reported a sharp loss after a failed Chilean exposure, with Norwegian bulker operator Western Bulk Chartering (WBC) still absorbing the consequences of a wrong-way market position tied to the Chilean dry bulk trade. Western Bulk Chartering (WBC) said the weakness in freight markets, particularly low rates in Q1 2019, compounded the damage and pushed results materially lower, and Western Bulk Chartering (WBC) has simultaneously been working through a broader reorganisation of the business following the earlier restructuring that took place after the 2016 bankruptcy, a process that also sits against the background that Bulk Invest was previously named Western Bulk. Oslo-based bulker operator Western Bulk Chartering (WBC) reported a loss after tax of $24.8 million for H1 2019, and Norwegian bulker operator Western Bulk Chartering (WBC) recorded net Time Charter (TC) revenue of -$8.8 million for H1 2019, figures that underline how quickly a trading-oriented chartering platform can swing from profitable to loss-making when freight markets weaken and commercial exposure is mispriced. Western Bulk Chartering (WBC) said the operating environment remained subdued for much of the first half, with only a limited recovery thereafter and the broader shipping market staying weak until a rebound that emerged in July, and Western Bulk Chartering (WBC) explained the H1 2019 outcome by pointing to higher Voyage Charter (VC) and Time Charter (TC) expenditures along with additional operating costs, highlighting the sensitivity of net results to voyage economics, bunker exposure, positioning, and the cost of maintaining coverage during dislocated market phases. One of the world’s largest supramax bulk carrier operators Western Bulk Chartering (WBC) operated an average of 158 bulk carriers in H1 2019, demonstrating the sheer scale of Western Bulk Chartering (WBC)’s asset-light model in which Western Bulk Chartering (WBC) deploys a large operating fleet through chartering decisions, contract structuring, and market coverage rather than through ownership of every ship it trades, and that scale can amplify both upside during strong markets and downside when a major position moves against the platform. Norwegian bulker operator Western Bulk Chartering (WBC) said it was still feeling the impact of a wrong bet made on the Chilean dry bulk market by an ex-employee, and in January Western Bulk Chartering (WBC) stated that the employee had authorised agreements based on unrealistic assumptions, with Western Bulk Chartering (WBC) losing millions of dollars as a result. Western Bulk Chartering (WBC) said it subsequently restructured its Chilean team, dismissed the employee, and installed updated internal control routines, signalling a tighter governance posture aimed at preventing unauthorised risk-taking and strengthening oversight across regional desks and trading decisions. The corporate ownership backdrop remains significant for understanding Western Bulk Chartering (WBC)’s restructuring path: in 2016, Western Bulk Shipholding (WBS) sold its profitable Western Bulk Chartering (WBC) operation and the Western Bulk trademark to Christen Sveaas-controlled Kistefos Equity, and Western Bulk Chartering (WBC) has since operated under a structure in which sponsor support and refinancing capacity have been important tools for stabilising the platform through volatile cycles. As markets improved later in the year, Oslo-based bulker operator Western Bulk Chartering (WBC) said it anticipated a profit after tax in H2 2019 supported by firmer supramax freight rates, while also cautioning that the Chile-related losses were expected to continue to weigh on performance, indicating that the financial drag from prior commitments could persist even as spot conditions turned more constructive. In financial management terms, Western Bulk Chartering (WBC) also highlighted that during H1 2019 Western Bulk Chartering (WBC) repaid bond debt and tapped primary investors for new loans, and in April Western Bulk Chartering (WBC) confirmed $15 million in equity from its two major shareholders Ojada and Kistefos, reinforcing that Western Bulk Chartering (WBC) relied on shareholder backing to shore up liquidity and maintain operational momentum while repairing risk controls. Leadership also shifted during the period, with Jens Ismar replaced as Western Bulk Chartering (WBC) Chief Executive Officer by Hans Aasnaes in H1 2019, a change that signals Western Bulk Chartering (WBC)’s effort to reset governance, tighten commercial discipline, and steer the chartering platform toward more sustainable performance as Western Bulk Chartering (WBC) continued to rebuild credibility with shipowners, financiers, and counterparties after the Chilean setback.
11-August-2019
Athens-based New York-listed shipowner and operator EuroDry (EDRY) is optimistic for the future. Aristides Pittas-led shipowner and operator EuroDry (EDRY) is keeping an optimistic outlook on the future, despite reporting a loss for Q2 2019. EuroDry (EDRY) anticipates dry bulk freight rates to improve through 2019 amid a limited fleet supply as a consequence of scrubber installations before the IMO (International Maritime Organization) 2020 deadline. EuroDry (EDRY) is optimistic about the near and medium-term prospects of the shipping market as fleet growth is anticipated to stay constrained. The major uncertainty is affiliated with the continuance and extent of the trade tensions between the US and China. New York-listed shipowner and operator EuroDry (EDRY) has been carefully assessing miscellaneous opportunities to acquire new ships and renew EuroDry (EDRY) fleet. Furthermore, EuroDry (EDRY) examines merger opportunities with other fleets. EuroDry (EDRY) reported a net loss of $2.5 million for Q2 2019. EuroDry (EDRY) reported operating expenses of $1.5 million for Q2 2019. EuroDry (EDRY) reported revenue of $6.4 million for Q2 2019. In May 2018, Aristides Pittas-led shipowner and operator EuroDry (EDRY) spun off from sister container ship company Euroseas (ESEA).
11-August-2019
In January 2019, German bulker giant Oldendorff Carriers sold five (5) self-unloader bulk carriers and exit the pool. Oldendorff Carriers sold its stake in the CSL International Pool and its three (3) self-unloader bulk carriers trading in the system to Algoma Central. Furthermore, Oldendorff Carriers sold two (2) other self-unloader bulk carriers to a Chinese firm. Oldendorff Carriers sold three (3) self-unloader bulk carriers:
- MV Alice Oldendorff (59K DWT - 2000 built)
- MV Sophie Oldendorff (70K DWT - 2000 built)
- MV Harmen Oldendorff (66K DWT - 2006 built)
- MV Bernhard Oldendorff (78K DWT - 1991 built)
- MV Caroline Oldendorff (78K DWT - 1990 built)
11-August-2019
World Economic Forum warned about a possible recession and trade uncertainties may worsen. Prominent economists have been predicting that global growth since the 2008 financial crisis is running out of steam. Global economic growth expected to decrease to 3% in 2020. In 2019, global economic growth will be affected by:
- United States trade war with China
- Slowing growth in the European Union
- Increasing political instability in many countries
World Economic Forum summarized that global uncertainties are escalating. The world economy would have to master how to manage the next recession. Today, risks are frequently inter-related and the ability to deal with those risks was diminishing. Slowing growth, increasing debt, trade tensions, and mounting inequality are numerous difficulties that would require a world-wide collaborative scheme to solve. Demands on shipping to slash carbon emissions by financing modern combustibles is merely one portion of the enormous challenges the world faces.
11-August-2019
Marshall Islands-registered Hunter Maritime received a warning from Nasdaq. Nasdaq requires Hunter Maritime to hold an annual general meeting. Hunter Maritime has 45 days to present a program for an annual meeting. Hunter Maritime commenced in 2016 with a $152 million IPO (Initial Public Offering) with the purpose of acquiring dry bulk carriers at the bottom of the shipping cycle. Hunter Maritime has failed to acquire bulk carriers as investors seemed to draw their capital out of Hunter Maritime.
11-August-2019
Arne Blystad has sold a stake equivalent to 2% of Norway based Songa Bulk’s share capital since 20 December 2018. Norwegian shipowner Arne Blystad has indirectly reduced his shareholding in Star Bulk by selling a further 6.5% of his shareholding in Songa Bulk ASA for just over $48,648.
Norway based Songa Bulk was merged into New York-listed Star Bulk in 2018, but Songa Bulk continues to exist as the merged entity’s fifth-largest shareholder. In January 2019, 610,518 shares of Star Bulk were sold by Blystad-controlled companies Songa Trading Inc, Songa Bulk Chartering, and Agmably. According to the Oslo Stock Exchange filing, securities were sold on the Oslo Stock Exchange for an average price of NOK 0.6812 each by Arne Blystad. Norwegian Arne Blystad and his co-investors subsequently own 8,731,602 Songa Bulk shares, equivalent to 24.35% of the company. In January 2019, Arne Blystad has sold off a stake equivalent to 2% of Songa Bulk’s total outstanding share capital over two transactions.
On 20 December 2018, Arne Blystad’s companies AKB and JJB sold a total of 25,000 shares at a price of NOK 0.15 per share. Furthermore, on 20 December 2018, Songa Bulk’s CEO and CFO, Thomas Ronningen, sold 100% of his shareholding which is a total of 3,500 shares at a price of NOK 0.30 each. On Oslo Stock Exchange, Songa Bulk’s share price closed at NOK 0.58. Songa Bulk completed a merger with Petros Pappas’ Star Bulk in July 2018. Arne Blystad has become a director of Star Bulk and former Songa Bulk CEO Herman Billung has joined its management team. Merger with Songa Bulk has provided Star Bulk with dual listings on the Nasdaq and Oslo Stock Exchanges. In 2018, Star Bulk and Songa Bulk merger has boosted fleet to 98 bulk carriers plus three (3) new-buildings.
10-August-2019
2020 Bulkers has initiated its revenue generation with the delivery of a newcastlemax bulk carrier. This development marks the beginning of income generation for Tor Olav Troim’s premier shipowning enterprise, balancing its financial expenditures. The company has received the first of its eight newcastlemax new builds, starting its revenue journey. The 208K DWT MV Bulk Sandefjord, delivered from China’s New Times Shipyard on August 7, has started an index-linked charter with Koch Industries. Without an operational fleet in the first half of 2019, 2020 Bulkers experienced a financial loss due to no operating income. The company incurred a $1.0 million loss in the second quarter and a $2.4 million loss in the first half, primarily from general and administrative expenses. The second quarter expenses rose due to increased salaries, professional fees, a non-cash share option cost of $1.0 million, and one-off expenses related to listing the company’s shares on the Oslo Axess market, as reported in its financial statement. Recently, 2020 Bulkers secured a $5.5 million revolving credit facility, funded by Tor Olav Troim, the company’s founder. Drew Holdings Limited, Troim’s trust company and the largest shareholder of 2020 Bulkers, provided this credit line for working capital purposes. This funding is in addition to the $73.2 million raised in new equity and a $240 million bank facility obtained in February. 2020 Bulkers plans to receive five more ships in the next five months, with the final two by May 2020, as per its report. Three of these new builds already have long-term charters with Koch Supply & Trading.
10-August-2019
2020 Bulkers has begun earning revenue with the delivery of a new Newcastlemax bulk carrier. This marks the first income for Tor Olav Troim’s primary shipowning venture, helping to balance its expenditures. The company’s first out of eight Newcastlemax newbuilds, the 208K DWT MV Bulk Sandefjord, was received from New Times Shipyard in China on August 7 and has started a charter linked to the index with Koch Industries. Previously, 2020 Bulkers lacked an operational fleet for the first half of 2019, resulting in a loss due to the absence of operational income. The company reported a loss of $1.0 million for the second quarter and $2.4 million for the first half, primarily due to general and administrative expenses. The second quarter expenses increased due to higher salaries, professional fees, a non-cash share option cost of $1.0 million, and one-off costs associated with listing the company’s shares on the Oslo Axess market, as per their financial report. Recently, 2020 Bulkers secured a $5.5 million revolving credit facility funded by Tor Olav Troim, the company’s founder. Drew Holdings Limited, Troim’s trust company and the major shareholder in 2020 Bulkers, provided this facility as working capital. This is in addition to $73.2 million in new equity raised in the first six months and a $240 million bank facility obtained in February. 2020 Bulkers expects the delivery of five more ships in the next five months, and the final two by May 2020, with three of these newbuilds already having long-term charters with Koch Supply & Trading.
10-August-2019
Greek shipowner and operator Pioneer Marine turns a profit in Q2 2019 amid a challenging dry bulk market. Oslo over-the-counter (OTC) listed Pioneer Marine almost doubled its earnings in Q2 2019. In 2019, Pioneer Marine reported a $3.66 million net profit. In 2019, Pioneer Marine reported a revenue of $10.3 million. Pioneer Marine easily overcame the astonishing decline in the dry bulk market in 2016. In February 2016, the BDI (Baltic Exchange Dry Index) hit a historic low of 291 points due to oversupply of tonnage, inadequate global production, and lower demand for commodities. However, Athens-based shipowner and operator Pioneer Marine is optimistic about the dry bulk market for the remainder of 2019, notwithstanding all the ambiguities circling the new IMO (International Maritime Organization) 2020 low sulfur regulations. Greek shipowner and operator Pioneer Marine has been well prepared for IMO (International Maritime Organization) 2020 low sulfur regulation transitional period to serve bulk carrier charterers efficiently. Currently, Athens-based shipowner and operator Pioneer Marine owns 17 bulk carriers and keeps looking for attractive opportunities.
10-August-2019
NASDAQ listed shipowner and operator Star Bulk Carriers is predicting that capesize freights rates to soar over the next half of 2019 due to scrubber installations before the IMO 2020 deadline. According to Star Bulk Carriers, Far East shipyards are extremely busy to install scrubbers. Therefore, Star Bulk Carriers have positive sentiments on capesize freights rates through the rest of 2019. In early April 2019, capesize freights rates were around $3,460 per day. At the beginning of August 2019, capesize freights rates increased to $33,000. In the second week of August 2019, capesize freights rates plunged to $23,872 per day as many capesize bulk carriers ballasted to the Atlantic basin. Oaktree Capital Management backed shipowner and operator Star Bulk Carriers is very optimistic about the capesize market until the end of 2019. According to Star Bulk Carriers, capesize freights rates will upkeep this level for a while because capesize bulk carriers were focused on the Pacific basin. Moreover, Vale’s Brucutu mine supplied 30 million metric tonnes of iron ore to capesize market. Currently, bunker prices are very high to ballast and many capesize bulk carriers were at Chinese shipyards for scrubber installations. According to Star Bulk Carriers, 60 VLOCs (Very Large Ore Carriers) and 130 capesize bulk carriers will be installed scrubbers i.e. these large bulk carriers will be off the market. Therefore, Star Bulk Carriers forecasts that the capesize freight rates will be above $20,000 for the near future. Currently, China’s iron ore stockpile dropped down to 120,000,000 tonnes. So, the slowdown in iron ore demand in China was more shipping supply-driven. Furthermore, slow-steaming due to high low-sulfur fuel costs also soar capesize freight rates by lowering ship supply to the market.
7-August-2019
Istanbul-based Yasa Shipping, after having its 82K DWT kamsarmax bulk carrier MV Yasa Neslihan on the market for over a year, has completed its sale for approximately $12 million. EuroBulk Ltd, led by Greek shipping magnate Aristides Pittas, is identified by shipbrokers as the buyer, securing the vessel at a price significantly reduced from its initial asking price. This transaction marks Yasa Shipping’s first vessel sale since 2013, reducing the fleet of the company, which previously boasted 24 bulk carriers. In June 2018, Yasa Shipping had listed several vessels for sale, including the 82K DWT kamsarmax bulk carrier MV Yasa Neslihan, the 75K DWT panamax bulk carriers MV Yasa Team and MV Yasa Unity, along with the supramax bulk carriers MV Yasa Gulten and MV Yasa Ozcan, all of which were constructed in 2005 and 2006. Additionally, Yasa Shipping is set to enhance its fleet this year with the introduction of four new ultramax bulk carriers. EuroBulk Ltd, under the leadership of Aristides Pittas, has a notable presence in the maritime industry, primarily focusing on the operation and management of bulk carriers and container ships. The acquisition of MV Yasa Neslihan signifies EuroBulk Ltd’s strategic approach to fleet expansion and rejuvenation. EuroBulk Ltd, known for its adept handling of maritime assets and commitment to operational excellence, leverages its industry expertise to optimize fleet performance and meet the dynamic demands of global shipping markets. The company’s strategic acquisitions, such as that of MV Yasa Neslihan, are part of its broader vision to strengthen its market position and capitalize on growth opportunities within the maritime sector.
7-August-2019
Toronto-based bulk carrier operator Norvic Shipping has been moving key managerial positions to New York. Toronto-based bulk carrier operator Norvic Shipping needs to be closer to the business atmosphere in the US market. Currently, Norvic Shipping is led by CEO Peter Borup. Toronto-based bulk carrier operator Norvic Shipping operates mostly handy and supramax bulk carriers. Norvic Shipping has not been considering to invest in bulk carriers. Norvic Shipping is endeavoring to remain as a pure operator. Norvic Shipping has even avoided taking ships on long-term charters. Currently, in this volatile shipping market, it is feasible to prefer short-term charters. Norvic Shipping reported a profit in 2018. Norvic Shipping’s main purpose is to operate more efficiently with the current team. Norvic Shipping has been located in Copenhagen, Toronto, New York, Houston, Dubai, Singapore, New Delhi and Dubai. Norvic Shipping was founded in Toronto in 2006. Initially, Norvic Shipping was concentrating on tanker segments and still has an insignificant involvement in the tanker market. In 2018, Norvic Shipping has doubled its turnover.
7-August-2019
One of Europe’s largest bulk carrier operator Szczecin-based Polish Steamship Polsteam is undergoing a restructuring programme. Polish Steamship Polsteam is looking to order more new-buildings. In 2019, Polish Steamship Polsteam will take delivery of the final four (4) bulk carriers in an earlier newbuilding programme. Delivery will include several bulk carriers abandoned at Chinese Shipyards by the previous Polish Steamship Polsteam’s board. Abandoned bulk carriers’ price tags were since renegotiated. In 2017, the Polish government appointed Pawel Brzezicki as the new CEO for a state-owned company Polish Steamship Polsteam. Pawel Brzezicki will try to stabilize Polish Steamship Polsteam. Polish Steamship Polsteam is Poland’s largest shipping company which is headquartered at Szczecin, Poland. Polish Steamship Polsteam has a mixed fleet of 61 ships of 2.2 million DWT. Polish Steamship Polsteam fleet comprises of 8 panamax, 48 handysize bulk carriers, 1 sulphur carrier and 4 ferries. Polish Steamship Polsteam CEO Pawel Brzezicki will seek opportunities to build more bulk carriers at Chinese Shipyards. Previously, Pawel Brzezicki was working as GM (General Manager) of Polish Steamship Polsteam between 1998 and 2005. According to Pawel Brzezicki, Polish Steamship Polsteam lost about $60 million in advance payments which had been recovered in the course of renegotiating cancelled orders at China’s Yangzijiang Shipbuilding and Yangfan Shipyard. $60 million has been used to finish some of those bulk carriers at the shipyards. 70% of new-buildings from the earlier investment programme will be completed. 12 bulk carriers (38K DWT) were booked at Yangfan Shipyard and 6 lake fitted handysize bulk carriers (36K DWT) at Yangzijiang Shipyard. Polish Steamship Polsteam’s earlier programme involved 38 bulk carriers in Chinese Shipyards. According to Polish Steamship Polsteam’s CEO Pawel Brzezicki many of the previous Polish Steamship Polsteam’s managers were responsible for newbuilding cancellations in 2016. These managers quit with the threat of bankruptcy looming. Polish Ministry of Maritime Economy and Inland Navigation appointed Pawel Brzezicki to take charge as CEO of Polish Steamship Polsteam. After Pawel Brzezicki was appointed as new CEO in 2017, Polish Steamship Polsteam turned into profit. At the beginning of 2019, two (2) of the latest abandoned bulk carriers to be delivered were lake-fitted sisterships 36K DWT MV Jamno and MV Narie from Yangzijiang Shipyard. In total, five (5) newbuilding bulk carriers were delivered in 2018. Szczecin based Polish Steamship Polsteam is now in the position where it can restart ordering new-buildings. Polish Steamship Polsteam has no intention to sell any bulk carriers. Polish Steamship Polsteam’s fleet is relatively young, with an average age of eight (8) years. During Polish Steamship Polsteam CEO Pawel Brzezicki’s tenure, no ships were sold and ships that were circulated for sale by Pawel Brzezicki’s predecessors have been pulled from the S&P (sale-and-purchase) market and continued trading in Polish Steamship Polsteam’s fleet. According to CEO Pawel Brzezicki, challenge ahead of Polish Steamship Polsteam is finding reputable shipyards in China which are willing to build specialist lake-fitted bulk carriers with a high DWT. In the past Polish Steamship Polsteam worked with Chinese Shipyards like Yangfan Shipyard, Yangzijiang Shipyard, Taizhou Sanfu Ship Engineering and Tianjin Xingang Shipbuilding Heavy Industry. Great Lakes is an important market for Polish Steamship Polsteam and serious volumes of cargoes, mainly agricultural products, are moving out of the Great Lakes. Furthermore, Fednav, Canfornav and Navibulgar have lake-fitted bulk carriers which are competing at Great Lakes. Lake-fitted fleet is ageing and will have to be replaced. Polish Steamship Polsteam has been restructured and now fully financed profitable company.
7-August-2019
Shipping business generated $15 billion to Greeks in the first nine months of 2018. In 2018, the total number of active Greek shipping companies reached 1,400. The number of ships under Greek management companies is around 4,500 ships with a capacity of around 200 million DWT. In Greece, shipping companies employed around 17,000 people.
7-August-2019
Oaktree Capital Management backed shipowner and operator Star Bulk Carriers reported a $40 million net loss in Q2 2019 versus a $10.7 million profit in Q2 2018. $40 million net loss was reported in Q2 2019 due to adjustments to the Star Bulk Carriers’ fleet value. $40 million net loss as a result of a $30 million depreciation expense driven by a higher average number of bulk carriers. In Q2 2019, Star Bulk Carriers approved the deal with Delphin Shipping to acquire eleven (11) bulk carriers. Furthermore, Star Bulk Carriers took delivery of two (2) newcastlemax bulk carriers. In Q2 2019, adjusted loss came in at $20.5 million versus $13.4 million adjusted profit in Q2 2018. In Q2 2019, adjusted loss per share was $0.22 versus $0.21 earnings per share in Q2 2018. In Q2 2019, Star Bulk Carriers reported voyage revenue $158 million, up from $132 million in Q2 2018. However, voyage revenue was offset by costly scrubber installations. In Q2 2019, Star Bulk Carriers installed 26 scrubber towers completing 10 dry docks as well an additional 8 dry docks in progress. By the end of 2019, Star Bulk Carriers has been forecasting to install 104 scrubbers. Star Bulk Carriers has an optimistic outlook for 2020 shipping markets. According to Star Bulk Carriers, the Brazilian iron ore market will be improved and higher bauxite imports to China are expected. Petros Pappas led shipowner and operator Star Bulk Carriers expects trade war resolution in 2020. Star Bulk Carriers expect further slow steaming due to expensive bunkers, increased scrapping of inefficient vintage bulk carriers.
6-August-2019
Tor Olav Troim led 2020 Bulkers has secured a major loan for its newcastlemax newbuilding program and hasn begun working on a full stock listing. 2020 Bulker has also revealed a time charter for one of its eight (8) newcastlemax new-buildings, which will begin to deliver in September 2019. Oslo-OTC (Over The Counter) listed 2020 Bulkers appointed two new directors. 2020 Bulkers switched Magnus Halvorsen from the Chairman to CEO seat. 2020 Bulkers hired former Frontline’s CTD Olav Eikrem. 2020 Bulkers is acting on a plan to become an operator of bulk carriers rather than a simple asset play. As of today, 2020 Bulkers signed a long-term bank loan running to $240 million. $240 million loan carries an interest of Libor plus 250 basis points, has an 18-year repayment profile for the principal amount, and a balloon repayment after five (5) years. In the long term, 2020 Bulkers may consider other capital structures, including an all-equity financing structure, thereby giving additional flexibility with respect to dividend distributions. 2020 Bulkers has made $68 million in shipyard payments on the giant bulk carriers at New Times Shipyard and has $306 million to pay on the bulk carriers. 2020 Bulkers has previously raised $70 million in equity in small volumes for shipyard payments. 2020 Bulkers is planning to list on US stock exchange during 2019 and have started the preparation for this. Furthermore, 2020 Bulkers illustrated the value of scrubber fitted newcastlemax bulk carriers. 2020 Bulkers has also had several inquiries from first-class charterers interested in securing newcastlemax bulk carriers. Long-term time charters with fixed and floating rates and contracts of affreightment were all discussed. 2020 Bulkers’ new-buildings will be delivered with scrubbers seems to be a significant driver behind the charterers’ interest. 2020 Bulkers will continue to charter out bulk carriers to strong counterparties with a target to optimize the trading results from their operation without building a large overhead structure. Newly appointed CTD (Chief Technical Director) had the same position for John Fredriksen’s Frontline for 15 years. In January 2019, Kate Blankenship and Georgina Sousa had appointed from John Fredriksen’s company. 2020 Bulkers would target high yield dividend payments. 2020 Bulkers had an opportunistic approach to growth and a disciplined investment strategy. On the other hand, 2020 Bulkers explained that there are no current plans to order new-buildings as bulk carrier prices have risen by 20% since its own bulk carriers were contracted. According to 2020 Bulkers’ 2019 and 2020 dry bulk freight predictions, the dry bulk market will see fleet growth of between 0 and 1% given the downtime required to install scrubbers on currently trading bulk carriers.
6-August-2019
Greek shipowner and operator Allseas Inc has acquired 2011 built 28K handy bulk carrier MV Haruka from Japanese shipowner Fukusei Sangyo for about $7 million. Greek Allseas Inc currently operates a fleet of five (5) handysize bulk carriers with an average age of 17 years. Allseas Inc was established in 2009 by Captain Anthony C. Valmas. Captain Anthony C. Valmas has been in the shipping business for around 30 years. Allseas Inc’s ship management services incorporate Operation, Chartering, Technical, Insurance, Sale & Purchase, Accounting, and Crewing.
6-August-2019
Greek shipping tycoon Michael Bodouroglou-led Allseas Marine sold a pair of supramax bulk carriers for a total of more than $24 million. Voula based Allseas Marine SA reportedly sold 2011 built supramax bulk carrier 56K DWT MV Paros Seas and sistership MV Kavala Seas for more than $12 million each. MV Paros Seas and MV Kavala Seas were built at Jiangdong Shipyard, China. MV Paros Seas and MV Kavala Seas had been in the Allseas Marine SA’s fleet for more than six years since the Michael Bodouroglou bought them from Eastman Transport for about $21 million each. At the beginning of 2019, Allseas Marine has been exploring a sale of the two bulk carriers for several months. In October 2018, Allseas Marine SA sold 2002 built handysize bulk carrier 28K DWT MV Voula Seas to Lebanese interest for about $6.5 million. MV Voula Seas has been renamed MV Sallizar Forte. On the other hand, Michael Bodouroglou is adding tankers in what is understood to be a diversification process of his fleet. Allseas Marine SA ended a 12-year absence from the tanker market in 2018. In 2018, Allseas Marine SA acquired 2016 built 160K DWT MT RS Tara and 2017 built 159K DWT MT RS Aurora. 2016 built 160K DWT MT RS Tara is currently trading with Heidmar’s Blue Fin tankers pool. 2017 built 159K DWT MT RS Aurora is currently trading with Navig8’s Suez 8 pool. Voula based Allseas Marine SA is understood to be exploring further moves to reshuffle its fleet, with the possible addition of tankers and bulk carriers in all possible sizes. Currently, Voula based Allseas Marine SA has a mixed fleet of nine (9) bulkers, four (4) containerships, and two (2) tankers.
6-August-2019
Greek shipowner Thanassis Martinos, who heads Eastern Mediterranean Maritime (Eastmed), has reportedly ended a 10-month hiatus in deal-making by acquiring a supramax bulker from Copenhagen-based shipowner and operator Dampskibsselskabet DS Norden A/S. The ship in question is the 57K DWT MV Nord Manatee, built in 2010, which was sold by the Copenhagen-listed Norden. This purchase marks Eastern Mediterranean Maritime’s (Eastmed) first market entry since last October and comes at a time when the bulker transaction market is witnessing an upturn, thanks in part to a summer revival in the freight market. While other shipping companies like Eagle Bulk Shipping and Oman Shipping have been active in the market, particularly with ultramax bulk carrier deals, seasoned Greek shipowners like the Martinos family had been notably absent until this recent move. The Martinos family and Eastern Mediterranean Maritime (Eastmed) are often seen as trendsetters among Greek shipowners. Their actions are closely watched, and their moves tend to influence other smaller private Greek shipowners. Recently, there has been a noticeable increase in bulker transactions, though the market has experienced a slight cooling due to the holiday season and global economic uncertainties, including tensions in the US-China trade relationship. Eastern Mediterranean Maritime’s (Eastmed) acquisition of the MV Nord Manatee, for which it reportedly paid $13.4m, will be a significant addition to its already extensive fleet of nearly 40 bulk carriers. Currently, Eastern Mediterranean Maritime (Eastmed) operates about 80 ships. This transaction is also profitable for Dampskibsselskabet DS Norden A/S, which had purchased the vessel, then named CMB Maxime, for $10m in 2016 at the market’s low point. Dampskibsselskabet DS Norden A/S, pursuing an asset-light strategy, has been actively selling bulkers to focus on its operating business in dry cargo. This strategy has led to the divestment of more than a dozen bulkers since 2017, aligning the company’s owned dry cargo fleet with market fluctuations. Dampskibsselskabet DS Norden A/S’s approach emphasizes agility and the ability to quickly adapt to changing market conditions, avoiding the pitfalls of being over-committed to long positions. Despite not purchasing any bulkers recently, CEO Jan Rindbo-led shipowner and operator Dampskibsselskabet DS Norden A/S has made several countercyclical investments in the tanker market.
6-August-2019
As trade war has been intensified between the United States and China, shipping stocks plunged. Almost, every single New York-traded shipping stock ended the day in the red. Golar LNG, GasLog, Scorpio Tankers, and Matson were the most unsatisfactory performers. Among all shipping companies, Matson had the worst day on the stock exchange. Tanker stocks have not pummeled like other segments. Because China is not importing any US crude oil and crude is not on the tariff list.
6-August-2019
Nasdaq-listed shipowner and operator Star Bulk revealed a $42 million worth stock incentive plan for company executives. Petros Pappas-led Star Bulk Carrier’s shares have taken a tumble after the announcement of the stock incentive plan. Star Bulk Carrier explained that 4 million shares will be on offer depending on the performance of company executives. Star Bulk Carrier’s have fallen 12.4% to $9.15. Deutsche Bank analyst Amit Mehrotra stated that Star Bulk Carrier’s shares underperformance likely reflects the complexity of today’s announcement and management is effectively diluting existing shareholders if performance significantly exceeds average benchmark levels. Star Bulk Carrier’s share awards are subject to Star Bulk Carrier’s fleet outperforming relevant dry bulk charter rate indices as reported by the Baltic Exchange during 2020 and 2021. According to Deutsche Bank analyst, dilution will not happen until the shares reach much higher levels and show management’s confidence in its scrubber business plan, with the potential 4% dilution. Star Bulk Carrier has been buying back shares under a $50 million programme. Deutsche Bank maintains a buy rating on the Star Bulk Carrier’s stock and still considers it to be the top shipping pick.
6-August-2019
Based in Istanbul, Yasa Shipping has successfully sold its 82K DWT kamsarmax bulk carrier MV Yasa Neslihan for an estimated $12 million after being listed for sale for more than a year. The purchaser, EuroBulk Ltd, directed by the Greek shipping tycoon Aristides Pittas, acquired the ship at a substantial discount from its original listing price. This sale signifies Yasa Shipping’s first divestiture of a vessel since 2013 and slightly reduces its once 24-strong fleet of bulk carriers. Back in June 2018, Yasa Shipping announced its intention to sell a number of its ships, including the kamsarmax MV Yasa Neslihan, panamax bulk carriers MV Yasa Team and MV Yasa Unity, and the supramax carriers MV Yasa Gulten and MV Yasa Ozcan, all built between 2005 and 2006. Furthermore, Yasa Shipping is poised to refresh its fleet with the arrival of four ultramax bulk carriers this year. EuroBulk Ltd, steered by Aristides Pittas, plays a significant role in the maritime sector with its focus on managing and operating bulk carriers and container ships. The acquisition of MV Yasa Neslihan underscores EuroBulk Ltd’s strategic initiative towards fleet growth and modernization. Recognized for its proficient management of maritime assets and dedication to excellence, EuroBulk Ltd utilizes its vast industry knowledge to enhance fleet efficiency and address the evolving challenges of the international shipping industry. The procurement of MV Yasa Neslihan aligns with EuroBulk Ltd’s goals to fortify its presence in the market and seize new opportunities in the maritime domain. Yasa Shipping, with its headquarters in Turkey, is renowned for its expansive operations in the dry bulk sector, managing a diverse and modern fleet that contributes significantly to global maritime transport. Established with a commitment to high standards of operation and environmental responsibility, Yasa Shipping has consistently demonstrated its capability to adapt to market changes and expand its services to meet global shipping needs. The sale of MV Yasa Neslihan and the planned fleet expansion through the addition of ultramax carriers reflect the Turkish tycoon Yalcin Sabanci-led shipowner and operator Yasa Shipping’s ongoing strategy to optimize its fleet composition and sustain its competitive edge in the shipping industry.
5-August-2019
Los Angeles-based investor Oaktree Capital Management has bought 1.2 million more common shares in the Nasdaq-listed shipowner and operator Eagle Bulk Shipping (EGLE). Currently, Oaktree Capital Management’s stake increased to 40% in Eagle Bulk Shipping (EGLE). Furthermore, Goldentree Asset Management holds 14 million shares, and Neuberger Berman Group holds 3.32 million shares of Eagle Bulk Shipping (EGLE). Besides Eagle Bulk Shipping (EGLE), Oaktree Capital Management hold the shares of Navig8 Chemical Tankers and Star Bulk Carriers.
5-August-2019
Hong Kong-based shipowner and operator Ocean Longevity Co. Ltd. has been selling vintage bulk carriers. Ocean Longevity Co. Ltd. sold 1998 built panamax bulk carrier 72K DWT MV Ocean Favour for around $5 million to Stellar Ocean Transport LLC. Currently, Ocean Longevity Co. Ltd. controls a mixed fleet of 30 ships. Previously, Ocean Longevity Co. Ltd. sold 1997 built handysize bulk carrier 42K DWT MV Yi Ling (ex MV Heng Chang) for around $4 million. MV Yi Ling (ex MV Heng Chang) is sold to Chinese shipowner and operator Bill Zheng (Zheng Shiji) which controls five (5) bulk carriers with co-investors as CEO of Kind Faith Shipping. Ocean Longevity Co. Ltd. plans to sell more vintage bulk carriers in S&P (Sale and Purchase) market. Hong Kong-based shipowner and operator Ocean Longevity Co. Ltd is established by Kwai Szi Hoi who is also a shareholder in Brockman Mining.
4-August-2019
Greek shipowner and operator Allseas Inc has recently procured the 2011 built handysize bulk carrier 28K DWT MV Haruka from Japanese shipowner Fukusei Sangyo. Esteemed shipbroking insiders reported that this intricately crafted Japanese bulk carrier exchanged hands for an amount of $7 million. The Maritime Strategies International (MSI) estimates the ship’s worth at a staggering $11 million, while VesselsValue appraises it at a commendable $9.4 million. At present, Athens-based shipowner and operator Allseas Inc. boasts the stewardship of five handysize bulk carriers, all venerably aged with an average span of 17 years.
4-August-2019
New York-listed shipowner Genco Shipping & Trading has reported a $34.5 million net loss in Q2 2019 versus a $1.1 million net loss in Q2 2018. John Wobensmith-led Genco Shipping & Trading has reported a net loss of $0.48 loss per share. Genco Shipping & Trading has reported a revenue of $83.6 million in Q2 2019. Genco Shipping & Trading’s revenue was somewhat compensated by increased ship employment on spot market voyage charters. Genco Shipping & Trading aimed at improving environmental footprint, maximizing shareholder returns, and decreasing fuel costs. In Q 2019, Genco Shipping & Trading has operated in dry bulk freight rate conditions that remained under pressure. In Q 2019, Genco Shipping & Trading has reported a $111 operating costs. In Q 2019, Genco Shipping & Trading has reported $41.8 million in voyage expenses due to longer use of bulk carriers on the spot market.
3-August-2019
Athens-based shipowner and operator W Marine Inc acquired 2006 built panamax bulk carrier 76K DWT MV W-Galaxy (ex MV Nord Galaxy). Yiannis Sarantitis-founded CEO Nikos Triantafyllakis-led shipowner and operator W Marine Inc has veered off the company’s standard approach to add an 11th bulk carrier to W Marine’s fleet. Greek shipowner and operator W Marine Inc plans to operate MV W-Galaxy (ex MV Nord Galaxy) for Indian Ocean businesses. Athens-based shipowner and operator W Marine Inc tends to order new bulk carriers or purchase young kamsarmax and post-panamax bulk carriers. Nevertheless, last week W Marine Inc acquired a 13-year-old panamax bulk carrier MV W-Galaxy (ex MV Nord Galaxy).
1-August-2019
Diana Shipping (DSX), under the leadership of Simeon Palios, is executing a strategic approach of selling older vessels in favor of buying back its undervalued shares. Since November, the company has successfully sold seven panamax bulk carriers, including the 2004-built, 73K DWT MV Thetis, netting a total of approximately $42.1 million. From these proceeds, Diana Shipping has reinvested nearly $44 million to repurchase 13.1 million of its own shares. Athens-based New York-listed shipowner and operator Diana Shipping (DSX) has been proactive in returning capital to its shareholders through a series of self-tender offers. The management team remains steadfast in this strategy, especially when the company’s stock trades beneath its net asset value (NAV). As long as there’s a disparity between the market share price and the NAV, Diana Shipping (DSX) views share buybacks funded by the proceeds from ship sales as a strategic move. This approach not only allows Diana Shipping (DSX) to phase out older tonnage but also enables it to maintain its desired cash reserves, which it aims to keep between $140 million to $150 million, with aspirations to grow it further. Currently, with the share price closing at a decrease of 4.4% to $3.49, Diana Shipping (DSX) plans to continue this strategy. Diana Shipping (DSX) is looking into selling more from its fleet of 13 unencumbered bulk carriers, cumulatively valued at close to $150 million. However, while Diana Shipping (DSX) sees potential in converting more bulk carriers into shares, there’s no rush to do so.
1-August-2019
Nasdaq-listed shipowner and operator Eagle Bulk Shipping (EGLE) plans growth options after the acquisition of six (6) bulk carriers. Eagle Bulk Shipping (EGLE) has raised the funds from a convertible notes issue and spend $122 million on the new bulk carriers. Eagle Bulk Shipping (EGLE) has been involved in the S&P (Sale and Purchase) of 34 bulk carriers since 2016. Eagle Bulk Shipping (EGLE) can implement some conventional bank debt for additional acquisitions. Eagle Bulk Shipping (EGLE) thinks the price of six (6) bulk carriers is attractive. In 2017, Eagle Bulk Shipping (EGLE) made a significant en bloc acquisition. In 2017, Eagle Bulk Shipping (EGLE) acquired nine (9) ultramax bulk carriers from Greenship Bulk. Nasdaq-listed shipowner and operator Eagle Bulk Shipping (EGLE) always watch for potential other Merger and Acquisition (M&A) activity.
1-August-2019
Navios Maritime Partners has recently completed significant financial maneuvers by securing a new $140 million loan and executing two sale-and-leaseback agreements, despite facing a decline in profits. The partnership has managed the sale of a capesize and a panamax bulk carrier, in addition to refinancing 13 other vessels within the second quarter of 2019, yet continues to report losses. The new financing from an unidentified commercial bank will refinance eight bulk carriers and all five container ships owned by Navios Partners, marking the completion of the necessary bank financing to refinance the company’s Term Loan B. Angeliki Frangou, Chairman and CEO, expressed anticipation for completing this refinancing by year’s end, thereby avoiding any debt maturities until the end of 2021. The credit facility, with a 6.5-year amortization schedule maturing in August 2021, carries an interest rate of Libor plus 320 basis points annually. Navios Partners has repaid $113.2 million towards its Term Loan B since the start of the year, benefiting from lender discounts. Early in the year, the partnership disclosed securing $174 million in new financing from four banks to refinance loans for several bulk carriers. Additionally, the partnership disclosed the sale of two bulk carriers, which will be leased back from the buyers. A capesize bulk carrier built in 2011 was sold on July 24 for approximately $22 million, with an 11-year leaseback agreement at a fixed interest rate of 6.3%. This vessel is likely the MV Navios Ace. Navios Partners retains a buyback option for this vessel starting from the end of the fifth lease year. A panamax bulk carrier built in 2006 was sold on June 28 for $7.5 million, with a three-year leaseback at a fixed interest rate of 6.1%, including a buyback option at the end of the lease. Moreover, Navios Partners has engaged in a 10-year bareboat charter for a kamsarmax bulk carrier, the MV Navios Libra, built in 2019, including purchase options. This vessel was delivered on July 24 from the Cosco Nantong Shipyard and is available for purchase from Toyo Kaiun of Japan after the fourth year of the charter. Despite these strategic financial moves, Navios Partners reported an adjusted net loss of $1.4 million for Q2 2019, showing some improvement from the adjusted loss of $2.2 million in the previous quarter. The adjusted loss per share was $0.13, compared to a loss of $0.82 per share in the same quarter the previous year. CEO Angeliki Frangou expressed satisfaction with the results and announced a quarterly distribution of $0.30 per unit, reflecting a current yield of approximately 7%. The partnership’s time-charter revenue for the quarter was $47.7 million, down 18% from the same period last year, attributed to a smaller fleet and 160 fewer available vessel days, alongside a 14.2% year-on-year decrease in Time-Charter Equivalent (TCE) rates to $14,130 per day.
1-August-2019
Japanese shipowner and operator NYK Line (Nippon Yusen Kabushiki Kaisha) reported a profit of $88 million for Q2 2019. In Q2 2019, NYK Line’s (Nippon Yusen Kabushiki Kaisha) liner trade segment reported $17.5 million in recurring profit. In Q2 2019, NYK Line’s (Nippon Yusen Kabushiki Kaisha) bulk shipping recurring profit which is consisting of dry bulk, gas, and oil was at $84.7 million. Meanwhile, NYK Line’s (Nippon Yusen Kabushiki Kaisha) logistics business broke even and NYK Line’s (Nippon Yusen Kabushiki Kaisha) air cargo segment lost $14.7 million. NYK Line’s (Nippon Yusen Kabushiki Kaisha) liner business stated affiliate ONE (Ocean Network Express) noticed growth in overall liftings, slot utilization, and freight rates. NYK Line’s (Nippon Yusen Kabushiki Kaisha) bulk shipping, and car transportation had a robust quarter, while the Japanese shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) scrapped bulk carriers and the sector resumes to flounder. Both NYK Line’s (Nippon Yusen Kabushiki Kaisha) LPG and LNG had solid quarters. Japanese shipowner and operator NYK Line (Nippon Yusen Kabushiki Kaisha) stated, with long-term LNG contracts yield stable earnings.
1-August-2019
Hong Kong-listed shipowner and operator Pacific Basin Shipping expressed beginning of 2019 was weaker than the last two years. CEO Mats Berglund-led shipowner and operator Pacific Basin Shipping has seen a 73% decline in Q1 profit on the back of weaker dry bulk freight market circumstances. Hong Kong-based handysize and supramax specialist Pacific Basin reported a net profit of $8.5 million in the first six months of 2019. According to Pacific Basin Shipping, the US-China trade war and African Swine Fever affected soybean imports to China, flooding in the Mississippi River impeded grain exports from the United States, and damage to mining infrastructure disrupted Brazilian iron ore exports while harsh weather disrupted Australian iron ore exports. Hong Kong-listed shipowner and operator Pacific Basin Shipping reported the company’s average handysize and supramax daily TCE (Time Charter Equivalent) earnings of $9,170 and $10,860 per day net were down 6% and 7% year on year. However, Pacific Basin Shipping’s average handysize and supramax daily TCE (Time Charter Equivalent) earnings out-performance over the BHSI (Baltic Handysize Index) and BSI (Baltic Supramax Index) indices increased to 59% and 39% respectively. According to Pacific Basin Shipping, IMO (International Maritime Organization) 2020 regulations impact the global fleet. Hong Kong-listed shipowner and operator Pacific Basin Shipping anticipates more robust freight market conditions in the remainder of 2019.