30-November-2019
Greek shipowner and operator Atlantic Bulk Carriers Management (ABCML) ordered two (2) ultramax bulk carriers at Hyundai Vinashin Shipyard. Ultramax bulk carriers will be delivered in 2021 and will not be scrubber-fitted. In 2017, Coumantaros family-controlled Atlantic Bulk Carriers Management (ABCML) ordered two (2) ultramax bulk carriers 61K DWT MV Desert Ranger MV Desert Challenger at the same shipyard in Vietnam. Greek shipowners and operators proceed to replace vintage ships with new-buildings notwithstanding the ambiguity over carbon limits. Previously, Athens based Atlantic Bulk Carriers Management (ABCML) also ordered newbuilding ultramax bulk carriers in Japan. In August 2019, Atlantic Bulk Carriers Management (ABCML) took delivery of 2019 built ultramax bulk carrier 63K DWT MV Desert Grace from Imabari Shipbuilding, Japan. Currently, Atlantic Bulk Carriers Management (ABCML) has no extra new-building order plans. Customarily, Atlantic Bulk Carriers Management (ABCML) orders new-building bulk carriers as part of periodic fleet-renewal and sells a proportionate number of older tonnage. In November 2019, Atlantic Bulk Carriers Management (ABCML) sold 2006 built supramax bulk carrier 54K DWT MV Desert Melody for around $8 million. Furthermore, Atlantic Bulk Carriers Management (ABCML) sold 2002 built panamax bulk carrier 74K DWT MV Desert Eagle for around $8 million. Currently, Greek shipowner and operator Atlantic Bulk Carriers Management (ABCML) has a fleet of 20 bulk carriers.
30-November-2019
Greek shipowner and operator Eastern Mediterranean Maritime (Eastmed) sold 1995 built handymax bulk carrier 45K DWT MV Glyfada for about $4 million to Ukraine based DCT Shipping. MV Glyfada was the oldest and smallest bulk carrier in Eastern Mediterranean Maritime’s (Eastmed) fleet. Ukraine based DCT Shipping has been steadily building handymax bulk carrier fleet. In 1995, MV Glyfada was built at Tsuneishi Group’s Tadotsu Shipbuilding. In March 2015, Eastern Mediterranean Maritime (Eastmed) sold 1995 built handymax bulk carrier 42K DWT MV Sealady. Odessa based DCT Shipping renamed MV Glyfada, and now trading in DCT Shipping’s fleet as MV Alby Happy. Currently, DCT Shipping has a fleet of five (5) bulk carriers.
30-November-2019
Dr. Matheos D Los-led Greek shipowner and operator Vrontados SA has ordered two (2) kamsarmax bulk carriers 82K DWT at Sasebo Heavy Industries, Japan. Los family-controlled Vrontados SA replaces old supramax bulk carriers with more substantial kamsarmax bulk carriers. Previously, Vrontados SA ordered two (2) more kamsarmax bulk carriers and the freshest order leads the entire order-book at Sasebo Heavy Industries to four (4) kamsarmax bulk carriers. None of the four (4) kamsarmax bulk carriers will be scrubber-fitted. Athens based Vrontados SA’s prevailing method of ordering new vessels and operating for lifespan. In February 2018, Vrontados SA ordered a firm one (1) kamsarmax bulk carrier newbuilding and an optional one (1) for around $30 million each at Namura Shipbuilding. Namura Shipbuilding is Sasebo Heavy Industries’s parent company. In July 2018, Vrontados SA sold 2003 built supramax sisterships 50K DWT MV Christina L and MV Kaity L for around $16 million in total. Freshly, Vrontados SA sold 2003 built supramax sisterships 50K DWT MV Ero L and MV Maria L for around $6 million each.
29-November-2019
Tokyo Stock Exchange-listed shipowner and operator K Line Bulk (Kawasaki Kisen Kaisha) commenced installing alcohol detectors connected to smartphones on the company’s ships. Tokyo-based shipowner and operator K Line Bulk (Kawasaki Kisen Kaisha) has been fighting against alcohol on board. Yukikazu Myochin-led shipowner and operator K Line Bulk (Kawasaki Kisen Kaisha) cooperated with Pai-R Co. A snapshot of the crew member is automatically taken and sent to the cloud onshore, via satellite, along with the alcohol test result. Japanese shipowner and operator K Line Bulk (Kawasaki Kisen Kaisha) has been trying to conduct safe navigation through strict alcohol management on board. Tokyo-based shipowner and operator K Line Bulk (Kawasaki Kisen Kaisha) aims to introduce the alcohol detectors to all controlled vessels during Q2 2020.
28-November-2019
Antwerp based ship operator Conti7 appointed Pierre Dincq as new COO (Chief Operating Officer). Conti7 operates 40 bulk carriers. Fundamentally, Conti7 is concentrated on operating handysize, supramax, and ultramax bulk carriers. Conti7 was established in 1923. Conti7 has offices in London and Hong Kong. Family-owned company Conti7 is active in shipowning, ship operating, agency, logistics, forwarding, and warehousing. Moreover, Conti7 cooperates with GMT Hong Kong and Antartic Chartering.
26-November-2019
British Virgin Islands-registered Ukraine-based ship operator Phaethon International Company Ltd. chartered in 2004 built panama bulk carrier 73K DWT MV Protefs from New York listed Diana Shipping for a period of 13 to 16 months for gross daily rate of $9,900, minus 5% commission. MV Protefs’ charter is expected to commence on 27 November 2019. Since September 2018, MV Protefs was on timecharter to Hudson Shipping and was earning a gross daily rate of $11,000, minus 3.75% commission. In another deal, New York listed Diana Shipping chartered out 2013 built post-panamax bulk carrier 87K DWT MV Electra to Oldendorff Carriers for 11 to 13 months for a gross daily rate of $10,250, minus a 5% commission. Last year, MV Electra was on timecharter to Uniper Global Commodities at a gross daily rate of $13,500. Phaethon International Company is a British Virgin Islands-registered company operating out of Ukraine with a fleet of chartered bulk carriers. Phaethon International Company use the company names such as Phaethon International Company Ltd., Phaethon International Company AG, Phaethon International Company S.A. in British Virgin Islands, Panama, and Switzerland. Phaethon International Company’s headquarters is based in Ukraine where the company’s management and key staff operate and oversee overall dry bulk shipping activities.
26-November-2019
VesselsValue has cooperated with ship inspector Idwal Marine for condition-based appraisals. VesselsValue and Idwal Marine partnership will provide ship value assessments that take into account maintenance and will render estimates representing the condition of a particular vessel. For the first time in the maritime industry, the computerized Condition Adjusted Values (CAV) assistance utilizes the condition of the ship coupled with algorithmically-derived market values. Condition Adjusted Values (CAV) will serve shipowners and operators to perceive value for the extra time, effort, and cost of sustaining quality ships. Shipowners can inquire about a ship’s actual inspection documents throughout the VesselsValue platform. If no permission has been granted by the shipowner, or if no recent inspection reports are available on VesselsValue platform, users can request to commission a new inspection report. VesselsValue and Idwal Marine cooperation will contribute shipowners more transcendent clarity into a vessel’s actual value.
25-November-2019
Based in Limassol, the shipowning and operating firm Castor Maritime (CTRM) has finalized an agreement for an $11 million secured term loan facility with Alpha Bank, which it plans to fully utilize before year-end. The company, Castor Maritime (CTRM), aims to allocate the funds towards repaying a $7.5 million shareholder bridge loan, with the surplus earmarked for supporting its expansion efforts. CEO of Castor Maritime (CTRM), Petros Panagiotidis, stated: “We are thrilled to have secured our inaugural secured term loan financing with Alpha Bank, a premier banking institution, under favorable terms. This new financial partnership is a significant step forward, and we are dedicated to strategically leveraging our financial resources to further our growth initiatives.” Established in September 2017 and having made its debut on the Nasdaq Capital Market earlier this year with a single vessel, Castor Maritime has since expanded its fleet to include three panamax bulk carriers, following recent purchases from Diana Shipping and Pavimar SA. Pavimar SA is managed by Ismini Panagiotidi, the sister of Petros Panagiotidis.
25-November-2019
The American Club has dismissed the $18.5 million lawsuit filed by Great Lakes Insurance as completely unfounded. According to a statement from the American Club’s CEO, the lawsuit contains inaccuracies, blatantly false claims, and deeply offensive remarks directed at the club, its Board of Directors, managers, and employees. Filed in Manhattan federal court on Monday by Munich Re-supported Great Lakes Insurance, the lawsuit alleges that the American Club, along with George Gourdomichalis and Stathis Gourdomichalis, orchestrated the abandonment of a ship detained in Brazil in 2014. During that period, George Gourdomichalis held a directorial position at the American Club, a role he has since elevated to chairman. The complaint, presented by attorney George Chalos of Chalos & Co, accuses the American Club of cancelling coverage for the panamax bulk carrier 73K DWT MV Adamastos in early 2015 to sidestep a substantial claim. It also claims that George and Stathis Gourdomichalis informed the Greek government that Phoenix Shipping & Trading SA, their company, had ceased operations of the MV Adamastos, a ship they allegedly owned through another entity, Adamastos Shipping & Trading. Following this, the American Club informed the Gourdomichalis brothers of the termination of the coverage due to operational changes. Initially chartered to Pacific Gulf Shipping Co in April 2014 and subsequently sub-chartered, the MV Adamastos was detained in Brazil after failing an inspection that revealed 42 deficiencies. The ship was officially declared abandoned in February 2015. According to the lawsuit, the potential claim against the American Club could have exceeded tens of millions of dollars, amounting to several years’ worth of claims. The lawsuit also alleges that as a purported reward for their actions, two American Club employees, Donald Moore and Dorthea Ioannou, received promotions. The lawsuit references multiple London arbitration cases involving the MV Adamastos’ various charterers to substantiate the $18.5 million claim amount. This legal action is part of a broader ongoing dispute surrounding the ship, including a December 2018 lawsuit in which Pacific Gulf Shipping Co., also represented by Chalos & Co, accused the American Club of withholding documents in a separate legal matter in Portland, Oregon. The American Club countered these accusations, and the motion to quash the subpoena in Brooklyn federal court was eventually granted, deeming it overly broad.
24-November-2019
Taiwan-based shipowner and operator U-Ming Marine has secured two premium construction berths at the renowned Japanese shipyard Oshima Shipbuilding, strengthening its position in the international dry bulk segment. Taiwan-based shipowner and operator U-Ming Marine has entered into contracts for two 100,000 DWT post-panamax bulk carriers, with deliveries scheduled for 2022. While the contract value remains undisclosed, market observers note that the deal underscores U-Ming Marine’s determination to enhance its fleet efficiency and environmental performance. The newly ordered ships are expected to incorporate the latest hull optimization technology and energy-efficient propulsion systems, in full compliance with the IMO’s (International Maritime Organization’s) environmental and decarbonization regulations, setting a new benchmark for the shipowner’s operational standards. Earlier in 2019, shipowner and operator U-Ming Marine joined forces with compatriot Kuang Ming Shipping Corp.—the dry bulk shipping arm of Taiwan-based shipowner and operator Yang Ming Marine Transport—and Japanese shipping major Kawasaki Kisen Kaisha (K Line) to launch a coal shipping joint venture with Taiwan Power Company (TPC). The venture was designed to provide secure, long-term coal transportation solutions for Taiwan’s power generation sector, reinforcing the nation’s energy supply chain while improving efficiency and cutting emissions. Kuang Ming Shipping Corp., founded in 1990 and based in Taiwan, plays a vital role in this collaboration. Initially established as a booking and agency division for Yang Ming Marine Transport’s container business, Kuang Ming Shipping Corp. transitioned into a full-fledged dry bulk operator in 2008 as part of a strategic diversification initiative. Today, Kuang Ming Shipping Corp. operates a versatile fleet of 19 bulk carriers, including handymax, supramax, kamsarmax, and capesize bulk carriers, serving both regional and international routes. The fleet’s operational range extends from East Asia and Southeast Asia to the Indian Ocean and the Middle East, positioning Kuang Ming Shipping Corp. as one of Taiwan’s most prominent dry bulk players. Under the leadership of Chairman Tsai Ming-Hsu, Kuang Ming Shipping Corp. has focused heavily on sustainability, digitalization, and operational reliability. The shipowner emphasizes technical excellence, crew safety, and environmental compliance, with ships designed to meet modern standards under the EEDI (Energy Efficiency Design Index) and CII (Carbon Intensity Indicator) frameworks. Kuang Ming Shipping Corp. has earned recognition for integrating fuel-saving technologies and pursuing energy-efficient fleet management systems that allow for optimized routing, lower emissions, and reduced fuel consumption. Its collaboration with Taiwan-based shipowner and operator U-Ming Marine and Japanese partner Kawasaki Kisen Kaisha (K Line) reflects its growing ambition to expand its footprint in long-term energy transportation projects while continuing to invest in modern, environmentally responsible bulk carrier designs. This joint effort highlights the complementary strengths of all three shipping operators: U-Ming Marine’s experience in large bulk logistics, Kuang Ming Shipping Corp.’s operational precision and technical depth, and K Line’s extensive global network. Together, they provide Taiwan Power Company (TPC) with a dependable and efficient coal shipping solution while showcasing the industrial synergy between Taiwan’s leading maritime enterprises and Japan’s advanced shipowning expertise.
24-November-2019
Located in Limassol, Castor Maritime (CTRM), a company engaged in ship ownership and operations, has successfully secured an $11 million term loan facility with Alpha Bank, which it anticipates drawing down by the end of this year. Castor Maritime (CTRM) plans to use these funds to clear a $7.5 million loan from shareholders and allocate the remaining amount for its strategic growth ambitions. Petros Panagiotidis, CEO of Castor Maritime (CTRM), expressed enthusiasm about acquiring the company’s first secured term loan with Alpha Bank, highlighting the bank’s top-tier status and the competitive terms of the loan. He emphasized the importance of this new banking relationship as pivotal to the company’s strategy for using its financial assets to drive growth. Since its foundation in September 2017 and its subsequent listing on the Nasdaq Capital Market at the beginning of this year with just one ship, Castor Maritime has expanded its holdings to include three panamax bulk carriers. This expansion includes acquisitions from Diana Shipping and Pavimar SA, the latter being directed by Ismini Panagiotidi, Petros Panagiotidis’ sister.
21-November-2019
Petros Pappas led shipowner and operator Star Bulk Carriers is planning to distribute a dividend to its shareholders. After seven (7) years, Star Bulk Carriers is distributing dividends. New York-listed Star Bulk Carriers is aiming to distribute dividends to its shareholders every quarter. New York-listed Star Bulk Carriers declared a $0.05 stakeholder perk for Q3 2019 which is the first dividend since the company distributed $0.15 in September 2012. Petros Pappas led shipowner and operator Star Bulk Carriers is planning a future dividend policy in which the company intended to give a quarterly dividend if it has a minimum cash balance after subtracting a certain minimum cash balance per bulk carrier. Star Bulk Carriers has set up a quarterly minimum cash balance per bulk carrier schedule that starts at $1 million per bulk carrier at the end of 2019 and the schedule goes up to $2.1 million per bulk carrier by Q3 2021. Furthermore, Star Bulk Carriers has set up a transparent dividend policy, under which Star Bulk Carriers will distribute dividends to shareholders once cash balance has reached set thresholds. Star Bulk Carriers believe a transparent dividend policy will safeguard the company’s balance sheet while creating value by returning cash to its shareholders. At the beginning of 2019, Star Bulk Carriers reported that the company could commence paying dividends after having repaid deferred debt from its September 2016 restructuring of finance agreements. Star Bulk Carriers’ Q3 2019 earnings fell short of analyst consensus despite profit falling from Q3 2018. Currently, Star Bulk Carriers has a fleet of 118 bulk carriers. In Q3 2019, Star Bulk Carriers reported a $5.82 million profit versus $26.1 million in earnings for Q3 2018. In Q3 2019, Star Bulk Carriers reported $17.3 million in adjusted profit compared to $30.6 million in adjusted earnings. In Q3 2019, Star Bulk Carriers reported $0.18 adjusted earnings per share (EPS). However, investors and market players estimate by $0.03. In Q3 2018, Star Bulk Carriers reported $0.17 adjusted earnings per share (EPS). In Q3 2019, Star Bulk Carriers reported revenue as $248 million which offset by higher expenses. In Q3 2019, Star Bulk Carriers reported voyage costs more than doubled to $67.6 million while dry-docking expenditures for scrubber retrofits have more than tripled to $8.16 million. In Q3 2019, Star Bulk Carriers reported EBITDA of $60.5 million which is ahead of market forecasts. Star Bulk Carriers has continued making substantial improvement in executing its scrubber retrofit program. Until now, Star Bulk Carriers installed 88 scrubbers to its fleet. Star Bulk Carriers anticipates to complete the scrubber certification process for most of the fleet by the end of 2019. According to market analysts, Star Bulk Carriers’ new transparent dividend policy is a crucial point and may double Star Bulk Carriers’ shares in 2020. After the announcement of Star Bulk Carriers’ new transparent dividend policy, the company’s shares increased 7% to $10.74 on NASDAQ. In NASDAQ, Star Bulk Carriers’ shares are traded as ticker name SBLK. Star Bulk Carriers started paying a $0.05 dividend for Q3 2019. On the other hand, Star Bulk Carriers has been in a fleet renewal program and selling vintage bulk carriers. Star Bulk Carriers plans to distribute a quarterly dividend if the company has a minimum cash balance after subtracting a certain minimum cash balance per bulk carrier. Star Bulk Carriers’ new transparent dividend policy may yield a 2020 dividend of more than $2 per share if operating profit hits at least $470 million. Star Bulk Carriers could generate $300 million in scrubber savings. Star Bulk Carriers has gained significant progress on scrubber retrofits before IMO 2020 LSFO deadline 1 January 2020. Before the distribution announcement of dividend by Star Bulk Carriers, another New York-listed shipowner and operator Genco Shipping & Trading has announced its first dividend as a $0.175 regular bonus and a $0.325 special dividend. Currently, John Wobensmith led Genco Shipping & Trading has a fleet of 56 bulk carriers.
21-November-2019
Athens-based shipowner and operator Velos Tankers Ltd is maintaining a blistering pace in the secondhand market, with its fleet build-up showing no sign of easing and forming part of a broader Paschalis Diamantides-led platform that also includes Velos Dry Ltd on the dry bulk side. Another ship has now been added, with Velos Tankers Ltd, the venture established by Paschalis Diamantides, son of Diamantis Diamantides, identified as the buyer of the 53K DWT MT Velos Fortuna (ex MT Challenge Pacific), sold by Meiji Shipping for just under $14 million. Velos Tankers Ltd quickly fixed forward employment, chartering out MT Velos Fortuna (ex MT Challenge Pacific) to Clearlake at $16,000 per day for 21 months, securing period income and reinforcing a strategy of pairing acquisitions with cashflow visibility when attractive cover is available. Velos Tankers Ltd entered the market in August by purchasing two MR tankers, the 50K DWT MT Atlantic Leo and the 50K DWT MT Atlantic Aquarius, both built in 2008, from Diamond S Shipping. The buying programme soon continued with a third ship, the 75K DWT MT Breezy Victoria (built 2007), an LR1 product tanker acquired from Tokyo-listed Japanese shipping conglomerate Mitsui O.S.K. Lines (MOL) for around $13.5 million, supporting the development of a core product tanker platform around widely traded MR and LR1 tonnage. Alongside the tanker build-out, Velos Dry Ltd, established in 2022, provides the dry bulk pillar within the wider group strategy, giving exposure to bulk carriers and dry bulk commodity flows that can diversify earnings away from tanker-cycle volatility. Velos Dry Ltd’s presence supports a two-track growth approach in which Velos Tankers Ltd scales through secondhand tanker acquisitions while Velos Dry Ltd develops a bulk carrier footprint, allowing capital and deployment decisions to be adjusted across segments as relative values and freight market conditions shift.
20-November-2019
The Wenaas Group has significantly augmented its equity in the distinguished Norwegian bulker proprietor, Belships, by an impressive 71%. This illustrious Norwegian investment consortium has recently procured nearly 7.5 million Belships shares, as disclosed in a formal announcement to the Oslo Stock Exchange this past Wednesday. This strategic acquisition has elevated the Wenaas Group's equity to an aggregate of 18,050,670 shares in Belships, constituting a substantial 8.5% of Belships' total shares and voting rights. The eminent Belships, listed on the Oslo Stock Exchange, expresses its gratification in having a discerning investor such as the Wenaas Group bolster their position within the company, vowing to ardently uphold this renewed trust. In the month of May, as recompense for parting with its last sole vessel, the intricately crafted supramax bulk carrier of 58,700 DWT christened MV Belcargo (formerly known as MV Viola), the Wenaas Group was bequeathed a tranche exceeding 8 million Belships shares. The multifaceted investment portfolio of the Wenaas Group encompasses ventures into the luxurious hotel industry, elite alpine ski destinations, and a myriad of stocks. Since the inception of the year, Belships' stock valuation has ascended by a noteworthy 43%. After its strategic amalgamation with Frode Teigen's Lighthouse Navigation last December, the acclaimed Belships has been bustling with a plethora of sale-and-purchase agreements, amassing an impressive $8.8 million through equity dispositions in both May and July. Belships remains resolute in its visionary strategy, aspiring to flourish innovatively as an integrated magnate and purveyor of geared bulk vessels.
20-November-2019
Seoul-based shipowner and operator Polaris Shipping ordered two (2) newcastlemax bulk carriers 218K DWT at Shanghai Waigaoqiao Shipbuilding (SWS). Polaris Shipping has chartered out two (2) newcastlemax bulk carriers to Brazilian iron ore giant Vale for the long-term. South Korean shipowner and operator Polaris Shipping has not revealed the details of the Vale charter contracts and the two (2) newcastlemax new-building prices. Two (2) newcastlemax bulk carriers 218K DWT will be built to the IMO’s (International Maritime Organization’s) NOx Tier III emissions standards and fitted with scrubbers at Shanghai Waigaoqiao Shipbuilding (SWS). Shanghai Waigaoqiao Shipbuilding (SWS) is going to deliver the two (2) newcastlemax bulk carriers in Q4 2020. Previously, Polaris Shipping ordered capesize bulk carrier 180K DWT at Shanghai Waigaoqiao Shipbuilding (SWS) against a long-term charter with Hyundai Glovis.
20-November-2019
Simpson Spence Young (SSY), a leading London-based shipbroker, is making a strategic move into the energy derivatives market by hiring James Whistler, a seasoned energy broker from BGC Partners. This initiative marks Simpson Spence Young’s (SSY) intent to broaden its scope into the energy sector, with a keen focus on liquefied natural gas (LNG). James Whistler, who brings 18 years of experience in LNG and crude oil markets, has been appointed as the head of energy derivatives at SSY Futures in Singapore, a key location that complements Simpson Spence Young’s (SSY) existing presence in New York and London. Whistler’s role will encompass covering the gas and power markets, providing clients with solutions to manage their physical energy risks effectively. This addition is part of Simpson Spence Young’s (SSY) broader strategy to enhance its service offerings in freight, iron ore, coking coal, and steel, and to make a significant entrance into the rapidly evolving energy sector. Mark Richardson, Simpson Spence Young’s (SSY) chairman, expressed enthusiasm about this venture, highlighting the importance of LNG in the global energy mix and the potential for SSY to leverage its shipping expertise in new markets. Furthermore, Simpson Spence Young (SSY) is bolstering its LNG capabilities with additional hires in Asia and plans for expansion in London. Toby Dunipace, who leads the LNG department at Simpson Spence Young (SSY), announced the recruitment of Scott Leong, a former BW LPG employee with a strong background in projects and newbuildings, to operate from Singapore alongside shipbroker Josh Choo. In another strategic expansion, Simpson Spence Young (SSY) announced the opening of a new office in Dubai, focused on bulker chartering. This new base, set to commence operations in November under the leadership of Manish Pamecha, formerly of Maersk Broker in Dubai, signifies Simpson Spence Young’s (SSY) commitment to extending its global footprint. With this addition, Simpson Spence Young (SSY) now operates 21 international offices, with its dry cargo department active in 18 of these locations, offering comprehensive shipbroking services for dry bulk shipowners and charterers. This global network underscores Simpson Spence Young’s (SSY) position as a formidable player in the shipbroking industry, poised for growth in both traditional and emerging markets.
19-November-2019
Japanese shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) states that Japan’s shipyards build the world’s best-quality ships Japanese shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) comments that this is a fact widely acknowledged and is reflected in the secondhand price premium of Japan built ships. However, high labor costs mean Japan’s shipbuilders are pricing themselves out of the market. Meanwhile, Japan’s major shipowners resume streamlining their once bloated operations. Japanese shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) reaffirmed the company’s aim to reshape its large dry bulk division as an asset-light shipowner. Tokyo Stock Exchange-listed shipowner and operator NYK Bulk (Nippon Yusen Kabushiki Kaisha) wants to rely on more chartered tonnage to cover cargo demands rather than the company’s dry bulk fleet. On the other hand, Japan’s regional banks notice lending to overseas shipowners as a possible growth area, offering overseas shipowners higher yields for their huge capital reserves, which are presently being pressed by Japan’s negative interest rate circumstances.
19-November-2019
A new lawsuit claims the American Club intentionally ended insurance coverage for a problematic ship managed by Greek shipping magnates George Gourdomichalis and Stathis Gourdomichalis to dodge a multi-million-dollar claim. Filed by Munich Re-backed Great Lakes Insurance, the $18.5 million lawsuit accuses both the American Club and the Gourdomichalis brothers of conspiring to abandon the panamax bulk carrier 73K DWT MV Adamastos after Brazilian authorities detained it in 2014. At that time, George Gourdomichalis was serving as a director at the American Club, and has since become its chairman. The lawsuit alleges that the American Club and the Greek shipping magnates George Gourdomichalis and Stathis Gourdomichalis have continued to act without repercussions despite abandoning the ship, its contractual partners, and its cargo in Brazil, leaving about $20 million in claims unpaid. The panamax bulk carrier MV Adamastos was chartered to Pacific Gulf Shipping Co in April 2014, and sub-chartered to Integris and then to Marubeni Corporation to transport soybeans from Brazil to Japan and Singapore. However, the vessel was detained on August 5th after a port state inspection revealed 42 deficiencies and subsequently broke free from its moorings the next day, running aground with nearly 60,000 tonnes of soybeans on board. Internal emails referenced in the complaint reveal that American Club executives were deeply concerned about the incident, fearing claims that initially were projected to exceed $25 million. This amount would have surpassed the club’s $10 million claim cap, with any excess potentially falling to the International Group of P&I Clubs to cover. The complaint details how Phoenix Shipping & Trading SA, controlled by George Gourdomichalis and based in Athens, notified the Greek government in January 2015 that it had stopped operating the MV Adamastos. The American Club canceled the ship’s coverage the following day, citing the change in management. The Brazilian government declared the panamax bulk carrier MV Adamastos abandoned in February 2015, and its cargo was eventually sold to a third-party salvor. Subsequent arbitrations in London, initiated by Pacific Gulf Shipping Co., Integris, and Marubeni, determined damages to be $18.5 million. Meanwhile, American Club executives Donald Moore and Dorthea Ioannou, both implicated in the alleged scheme, received promotions. This lawsuit is part of a series of ongoing legal disputes concerning the abandonment of the panamax bulk carrier MV Adamastos. Recently, Pacific Gulf Shipping Co. initiated a $22.6 million lawsuit by seizing the 52K DWT supramax bulk carrier MV Vigorous and the 30K DWT handysize bulk carrier MV Fearless to secure funds to cover the claims, with these cases still active. In another legal action, Pacific Gulf Shipping Co. accused the American Club of withholding crucial documents in the arrest of the supramax bulk carrier MV Vigorous to shield Greek shipping magnates George Gourdomichalis and Stathis Gourdomichalis, but the club successfully argued that the subpoena was overly broad and involved confidential information. The American Club maintains that its dealings with the Greek shipping magnates George Gourdomichalis and Stathis Gourdomichalis were standard business practice.
19-November-2019
The Indian government has given the green light for the sale of the state-owned Shipping Corporation of India (SCI), a major step in the country’s expansive privatization initiative. This move was approved by the cabinet committee on economic affairs as part of India’s most significant privatization effort in over a decade, which also includes the disposal of Bharat Petroleum Corp and Container Corp of India. This decision comes as the Indian government seeks to address a growing fiscal deficit and stimulate an economy that has been showing signs of slowing. In addition to the Shipping Corporation of India (SCI) sale, the government has approved a proposal to reduce its stakes to below 51% in certain companies while maintaining control. The specific plan for Shipping Corporation of India (SCI) involves selling the government’s entire 63.75% holding. With Shipping Corporation of India’s (SCI) current market value at approximately $288 million, the government stands to gain around $184 million from the sale if it proceeds at this valuation. Following the announcement of this decision, Shipping Corporation of India’s (SCI) shares experienced a decline, falling by as much as 5.6%. Despite previous opposition to privatization in 2017, the Shipping Ministry has stated that it will not stand in the way of this proposed sell-off, and Shipping Corporation of India (SCI) has agreed to the stake disposal. Shipping Corporation of India (SCI), which is listed on the Mumbai stock exchange, boasts a diverse fleet of 135 ships. This fleet includes five very large crude carriers (VLCCs), along with suezmaxes, aframaxes, and other tankers. Additionally, Shipping Corporation of India (SCI)’s fleet comprises container ships, bulk carriers, offshore support vessels (OSVs), an LPG carrier, and ferries, demonstrating the Shipping Corporation of India’s (SCI) significant role in various segments of the maritime shipping industry.
18-November-2019
Nasdaq-listed shipowner and operator Eagle Bulk Shipping (EGLE) has secured an extra $34.3 million loan for scrubbers on three (3) recently acquired ultramax bulk carriers. $34.3 million loan has been added to an existing five-year senior secured term loan provided by a syndicate of six lenders. Three ultramax bulk carriers:
- MV Copenhagen Eagle (63K DWT 2015 built)
- MV Dublin Eagle (63K DWT 2015 built)
- MV Sydney Eagle (63K DWT 2015 built)
Financing for the incremental $34.3 million loans has been provided by Eagle Bulk Shipping’s existing syndicate lenders:
- ABN AMRO
- Credit Agricole Corporate and Investment Bank
- Skandinaviska Enskilda Banken
- DNB Bank
- Danish Ship Finance
- Nordea.
18-November-2019
Led by Aristides Pittas, shipping company Euroseas Ltd has finalized agreements with Synergy Holdings for the acquisition of four containerships, each with a capacity of 4,253 TEU, totaling approximately $40 million. The deal encompasses the 2008-built MV Synergy Oakland, along with three vessels from 2009: MV Synergy Busan, MV Synergy Antwerp, and MV Synergy Keelung. Euroseas Ltd will take over the existing charters on these ships. Additionally, the agreement includes the procurement of certain management services from Synergy Marine for the next three years, with Synergy Marine’s chairman Andreas Papathomas joining the Euroseas Ltd board as part of the arrangement. The acquisition will be financed through a combination of bank loans, current company funds, and $6 million obtained through private placements, with both Synergy Marine and Aristides Pittas’ Eurobulk Ltd contributing equally to the funding. Furthermore, Euroseas Ltd has committed to issuing an extra $0.5 million in shares to Synergy Marine, contingent upon meeting specific criteria within a year. Aristides Pittas expressed enthusiasm for this significant expansion and renewal of Euroseas Ltd’s fleet, highlighting the strategic importance of the acquisition in establishing a strong presence in the Panamax markets and advancing the company’s goal to become the premier publicly traded entity for consolidating feeder and intermediate containerships. This move reflects the confidence of Euroseas Ltd’s main shareholders, including Pittas and the broader Pittas family, as well as Synergy Holdings, in the company’s future. Pittas warmly welcomed Andreas Papathomas to the board, anticipating his extensive shipping expertise will significantly contribute to Euroseas Ltd’s strategic development. Eurobulk Ltd, co-investor in this transaction, is a key maritime management entity within the Pittas family’s shipping portfolio, known for its comprehensive operational capabilities in managing a diverse fleet. Specializing in bulk carriers and containerships, Eurobulk Ltd provides a wide range of maritime services, including technical, operational, and crew management. This collaboration between Eurobulk Ltd and Euroseas Ltd exemplifies the strategic synergy within the Pittas family’s shipping ventures, leveraging their collective expertise to capitalize on market opportunities and drive growth in the competitive maritime sector.
18-November-2019
Seoul-based shipowner and operator Polaris Shipping has postponed its planned listing on the Oslo Stock Exchange to the Q1 2020 due to a court case over the sinking of the 1993 built VLOC (Very Large Ore Carrier) 266K DWT MV Stellar Daisy to be resolved. South Korean shipowner and operator Polaris Shipping is aiming to raise around $300 million in an initial public offering (IPO) to finance new-buildings. Furthermore, Polaris Shipping aims to replace various of its converted VLOCs (Very Large Ore Carriers). Pareto Securities and DNB are the global coordinators for Seoul-based shipowner and operator Polaris Shipping’s initial public offering (IPO). Bookrunners for the Polaris Shipping’s initial public offering (IPO) are Arctic Securities and ABG Sundal Collier. Currently, Polaris Shipping operates 24 large bulk carriers and 2 Aframax tankers. Additionally, Polaris Shipping ordered 18 new-building bulk carriers at the Korean and Chinese shipyards.
18-November-2019
Maritime Department of Malaysia announced that ships, which are adopting open-loop scrubbers for exhaust gas cleaners, are promptly prohibited in Malaysian waters. Malaysia Maritime Department declared that ships calling at the Malaysian ports are recommended to switch to the compliant bunker (VLSFO) or switch over to the closed-loop system before entering Malaysian waters and ports. Besides Malaysia, Singapore and Fujairah (UAE) have already forbidden open-loop scrubbers from their waters. According to International Maritime Organisation (IMO) 2020 regulations, which will be effective on 1 January 2020, ships either must be installed scrubbers or use low sulfur bunkers for low emissions.
17-November-2019
Montreal-based shipowner and operator Fednav recently celebrated its diamond jubilee in Singapore. The celebration, marking Fednav’s 75th anniversary, took place at the Aura Sky Lounge atop the National Gallery Singapore, where around 150 shipping executives enjoyed panoramic views of Singapore’s iconic landmarks, including City Hall and Marina Bay Sands. This event was part of a global series commemorating the milestone for the family-owned company. Fednav CEO Paul Pathy, reflecting on the significance of the celebration, commented, “I have been to all offices around the world to fly Fednav’s flag. Singapore will be my last stop for the 2019 world tour, but an important stop.” He noted that while seventy-five years might not seem extensive by Asian standards, it represents half the lifetime of Canada, which is a significant marker for the company. Fednav, headquartered in Montreal, has additional offices in Tokyo, Hamburg, Antwerp, Barbados, Rio de Janeiro, St John’s in Canada, and Charlotte in the US. The company, which specializes in operating bulk carriers up to the kamsarmax size, has a fleet of about 120 vessels, 63 of which it owns outright. In 2011, Fednav expanded its operations to Singapore, starting with a chartering team of just three people.
17-November-2019
The International Maritime Organization’s (IMO) recent decision not to adopt mandatory slow-steaming measures has been perceived as a setback by some in the maritime industry, particularly by Paris-based shipowner and operator Louis-Dreyfus Armateurs (LDA). Philippe Louis-Dreyfus, chairing the Louis-Dreyfus Armateurs (LDA) supervisory board, expressed his disappointment but was not surprised at the decision made in London, which opted for “goal-based” decarbonization strategies instead of mandatory enforcement. Philippe Louis-Dreyfus described this development as a minor loss in a larger battle, indicating his belief that the idea of mandatory slow-steaming would resurface. He sees this outcome as more favorable to charterers than to shipping companies, suggesting that other solutions might be too complex or expensive. Paris-based shipowner and operator Louis-Dreyfus Armateurs (LDA) still considers mandatory slow-steaming or ship power reductions as the most probable long-term solution, viewing them as simpler and more feasible. On the other hand, the International Maritime Organization’s (IMO) working group on greenhouse gas (GHG) emissions, in its latest session, decided to adopt a goal-setting approach for the short-term reduction of shipping’s carbon emissions. This strategy is expected to encompass both technical and operational aspects, which will be further detailed in the next meeting of the International Maritime Organization (IMO) working group, scheduled to start on March 23. The UK Chamber of Shipping reported that the meeting concluded a mandatory goal-based approach would allow for more flexibility in emission reduction and encourage innovation within the industry. This perspective suggests a more holistic and versatile approach to tackling maritime carbon emissions, possibly integrating various methods and technologies rather than relying solely on slow steaming.
17-November-2019
German shipowner and operator Oldendorff Carriers is teaming up with the Massachusetts Institute of Technology’s (MIT) Center for Bits and Atoms (CBA) to examine disruptive improvements in bulk carrier design and propulsion. Henning Oldendorff-led Oldendorff Carriers supports IMO’s (International Maritime Organization) decarbonization targets in 2030 and 2050. Massachusetts Institute of Technology’s (MIT) Center for Bits and Atoms (CBA) has been improving hydrodynamic efficiency in the aerospace and automotive industries. Lubeck-based Oldendorff Carriers looks beyond conventional naval architecture to a deeper integration of bulk carrier forms and functions. German shipowner and operator Oldendorff Carriers has invested $3 billion in 90 new eco-ships since 2013. Oldendorff Carriers operates around 700 bulk carriers. Oldendorff Carriers’ more than 95% of its fleet are eco-ships. According to Oldendorff Carriers, clean oceans and clean air are crucial for human continuance. German shipowner and operator Oldendorff Carriers has an aim of meeting the IMO (International Maritime Organization) mandate for diminishing the environmental impact of shipping.
17-November-2019
Nasdaq-listed Greek shipowner and operator Seanergy Maritime (SHIP) issued 4.83 million Class C warrants on 13 May, 4.77 million of which were exercised within their 13 November expiry date. Seanergy Maritime (SHIP) has received $17.8 million as a result of the exercised warrants. Seanergy Maritime (SHIP) is going to use the raised funds for general corporate purposes. Seanergy Maritime (SHIP) announced that the remaining 59K Class C warrants have become void and no longer exist. Seanergy Maritime (SHIP) has 26.9 million common shares, issued and outstanding, and does not expect that number to change as a result of the Class C warrants.
17-November-2019
Taiwan Navigation Company (TNC) has placed an order for two Japanese-built bulk carriers, continuing its strategy of renewing its fleet. The order includes an 80K deadweight tons (DWT) Kamsarmax bulk carrier and a 60K DWT Ultramax bulk carrier, with a combined value of $64.1 million. Namura Shipbuilding will construct the Kamsarmax vessel, while Oshima Shipbuilding will build the Ultramax counterpart. Delivery dates for these ships have not been disclosed. Taiwan Navigation Company (TNC) has stated that these two new bulk carriers are intended to replace older vessels in its fleet, as per a recent regulatory filing. This order follows Taiwan Navigation Company’s (TNC) previous order earlier in the year for two 80K DWT kamsarmax bulk carriers from Namura Shipbuilding, each priced at $33.9 million. In addition, in September of the previous year, Taiwan Navigation Company (TNC) had ordered a pair of Ultramax bulk carriers from Oshima Shipbuilding, initially with a capacity of 62K DWT, but later increased to 64K DWT. These Ultramax vessels are also being equipped with scrubbers, which has slightly increased the cost of the ships from $51 million to $53 million. It’s worth noting that several Taiwanese shipowners have been actively engaged in the dry bulk newbuilding market, with a particular preference for Japanese shipyards.
17-November-2019
Taiwanese shipowner and operator U-Ming Marine Transport has ordered two (2) 100K DWT post-panamax bulk carriers at Japanese shipyard Oshima Shipbuilding for around $37 million each. Taipei-based dry bulk shipowner U-Ming Marine Transport has become the latest Taiwanese shipowner and operator to order Japanese newbuilding bulk carriers. U-Ming Marine Transport has ordered two (2) 100K DWT post-panamax bulk carriers via trading house Sumitomo Corporation. Taiwanese shipowner and operator U-Ming Marine Transport planned to replace existing bulk carriers. U-Ming Marine Transport has been a regular customer of Japanese shipyard Oshima Shipbuilding. At the beginning of 2019, Taipei-listed dry bulk shipowner and operator U-Ming Marine Transport took delivery of the 82K DWT MV Cemtex Diligence. Furthermore, U-Ming Marine Transport ordered two (2) 325K DWT ore carriers at Qingdao Beihai Shipbuilding Heavy Industry.
17-November-2019
After a distressing kidnapping incident, the Ugland Bulk Shipping AS controlled MV Bonita has embarked on a new journey to Brazil with a fresh crew. The 2010-built supramax bulk carrier 58K DWT MV Bonita recently left Benin, where it had been docked in Cotonou following the abduction of nine seafarers in November 2019. MV Bonita is now en route to Santos, Brazil. Last week, JJ Ugland’s senior crewing manager, Vidar Roinas, visited MV Bonita to oversee the changeover and facilitate the repatriation of seafarers wishing to return to their families in the Philippines. Presently, MV Bonita is manned by new crew members. In the wake of the incident, Norwegian shipowner and operator JJ Ugland’s subsidiary, Ugland Bulk Shipping AS, is reevaluating its operations off the West African coast. The security assessment is ongoing, as the company considers the future movements of its fleet in this region, following the serious security breach that resulted in the ship master being among those kidnapped while awaiting a berth to discharge gypsum. Ugland Bulk Shipping AS has described the situation as severe and is actively working to ensure the safe return of the abducted crew members.
16-November-2019
Switzerland-based shipowner and operator Massoel Shipping continues its trend of reducing its bulk carrier fleet, with two of its bulk carriers detained in the UK this past October. Recently, 2011 built handysize bulk carrier 31K DWT MV Thurgau was acquired by an anonymous Greek shipowner and operator for an approximated $6.7 million. Notably, the handysize bulk carrier 31K DWT MV Thurgau was built in China. This transaction is the newest among several that have led European shipbrokers to ponder over Massoel Shipping’s future aspirations in ship ownership. The previous month, Switzerland-based shipowner and operator Massoel Shipping divested 2002 built handysize bulk carrier 20K DWT MV Aros (ex MV Clipper Reunion) purportedly for a sum of $4.5 million. MV Aros (ex MV Clipper Reunion) was initially acquired by Massoel Shipping for an impressive $21.7 million in 2007. Currently, MV Aros (ex MV Clipper Reunion) sails under Reknav Management of Egypt, rechristened as the MV Rek Noble. Furthermore, another vessel of the same lineage, 2002 built handysize bulk carrier 31K DWT MV Andermatt, is currently available for acquisition. In an earlier transaction in July, Switzerland-based shipowner and operator Massoel Shipping parted with 2001 built handysize bulk carrier 46K DWT MV Glarus reputedly for $6.1 million. MV Glarus resurfaced under the aegis of FB Pioneer of the Marshall Islands, now christened as the MV Sinoway Lily. Highlighting their recent misfortunes, two of Geneva-headquartered shipowner and operator Massoel Shipping’s handysize bulkers encountered detention in the United Kingdom on October 8th. The rationale behind this action was a failure to compensate crew wages and other identified inadequacies, as disclosed by the MCA (Maritime & Coastguard Agency). In the aforementioned detention, 2002 built handysize bulk carrier 20K DWT MV Martigny, faced detention in Hull Port, grounded on 12 identified inadequacies, with unpaid crew wages being a principal concern. Simultaneously, the MCA (Maritime & Coastguard Agency) seized another 2003 built handysize bulk carrier 20K DWT MV Lugano, in Avonmouth, citing 18 shortcomings and an additional four reasons for its detention. MCA (Maritime & Coastguard Agency) investigations revealed an absence of crew payment, inadequate ISM, malfunctioning steering gear, and a compromised heating, ventilation, and air conditioning system. Both the MV Lugano and MV Martigny were eventually liberated by the MCA (Maritime & Coastguard Agency) on October 15th and 28th respectively. In corporate circles, Switzerland-based shipowner and operator Massoel Shipping seems to be fading from the international limelight. The Norwegian B Skaugen, once a collaborator holding a 49% share in Massoel Shipping’s bulker fleet via subsidiary Massmariner, has since disengaged. While the specifics remain undisclosed, Norwegian B Skaugen reportedly refrained from participating in Massoel Shipping’s company restructuring. Martinius Skaugen, a shipowner, has remained reticent on the purchaser of the Norwegian B. Skaugen shares. Historically, Norwegian B. Skaugen owned 2002 built supramax bulk carrier 50K DWT MV Luzern valued at around $6.5 million. Massoel Shippinghad previously acquired it in 2009 for a considerable $21.9 million. Despite numerous attempts to garner a response, Geneva-headquartered Massoel Shipping remains silent on its current sales endeavors. The Geneva-headquartered Massoel Shipping, established in 1982 by Georgio Sulser, a past magnate of ship management firm Acomarit, presently commands a fleet of eight bulkers with an average tenure of 12 years.
16-November-2019
German shipowner and operator Oldendorff Carriers sold 2010 built handysize bulk carrier 33K DWT MV Dora Oldendorff for around $6.5 million. MV Dora Oldendorff is due for SS (Special Survey) in January 2020. Lubeck-based Oldendorff Carriers has sold seven (7) bulk carriers and acquired three (3) post-panamaxes bulk carriers. German shipowner and operator Oldendorff Carriers has been very active in the newbuilding market. Oldendorff Carriers has ordered 85 eco bulk carriers since 2013. Henning Oldendorff led Oldendorff Carriers operates on average 700 bulk carriers. Currently, Oldendorff Carriers controls around 100 bulk carriers in the handysize segment. On the other hand, Oldendorff Carriers controls around 180 panamaxes and post-panamax bulk carriers.
15-November-2019
US chartering and trading giant Cargill Ocean Transportation keeps Diana Shipping’s 2010 built kamsarmax bulk carrier 82K DWT MVMedusa on time-charter for around another year. Jan Dieleman-led Cargill Ocean Transportation took the Medusa on period charter in September 2018 at a daily rate of $14,000. However, Cargill Ocean Transportation will be paying a gross charter rate for the extended period is $11,000 per day. 2010 built kamsarmax bulk carrier 82K DWT MVMedusa has been extended at a time charter rate that is around 21% lower than in the initial time charter. US chartering and trading giant Cargill Ocean Transportation will be paying about $3.47 million for the minimum scheduled period of the time charter to Diana Shipping.
15-November-2019
Athens-based New York-listed shipowner and operator EuroDry (EDRY) anticipates a profitable Q4 2019. Currently, Aristides Pittas-led shipowner and operator EuroDry (EDRY) has a fleet of seven (7) bulk carriers. EuroDry (EDRY) reported a net loss of $0.79 million in Q3 2019. EuroDry (EDRY) reported operating expenses of $6.69 million in Q3 2019. EuroDry (EDRY) reported revenue of $7.7 million in Q3 2019. In Q3 2019, New York-listed shipowner and operator EuroDry’s (EDRY) net income is affected by bulk carriers’ drydocking expenses. In Q4 2019, EuroDry (EDRY) does not have any drydocking scheduled and therefore Q4 would be profitable.
15-November-2019
Theodore Veniamis, the Greek shipowner and operator at the helm of Golden Union Shipping, is actively pursuing the acquisition of Noble Group’s post-panamax bulk carriers. The Greek owner is poised to benefit from the fleet wind-down of the Singaporean commodity trader. Golden Union Shipping, led by Theodore Veniamis, is now associated with the reported sale of two post-panamax dry bulk carriers from Hong Kong-based Noble Group, which is swiftly reducing its fleet. Among the vessels that Noble Group has put up for sale, the 92,500-dwt MV Ocean Garnet (built in 2010) and the 93,000-dwt MV Ocean Sapphire (built in 2012) are two debt-free ships that Golden Union Shipping has supposedly acquired. Reliable sources in London and Athens confirm that the Cosco Dalian-built pair has been secured by Golden Union Shipping. The MV Ocean Garnet is believed to have been purchased for $13.65 million, while the slightly newer Ocean Sapphire reportedly fetched $14.85 million. Golden Union Shipping, which currently operates around 45 dry bulk carriers, has been strategically expanding its fleet in the same size category. Theodore Veniamis made his last move in the sale-and-purchase market about a year ago when he acquired the 93,500-dwt MV Houyo (built in 2007). The vessel, now known as MV Flag Trias, has been trading with Golden Union since January. Additionally, in August, Golden Union Shipping took delivery of the MV Malena (built in 2019), an 81,600-dwt kamsarmax new building from Tadotsu Shipyard. Notably, other Greek companies have also been purchasing similar ships recently, including Polembros Shipping, which acquired two kamsarmax bulk carriers. Furthermore, Olympia Ocean Carriers believed to be controlled by the Mouskas family, has emerged as the new owner of the MV Mangarella (built in 2009), an 82,700-dwt vessel. The MV Mangarella was sold last month for approximately $15.5 million and is now trading as MV One Ocean. In contrast, Noble Group of Singapore has been consistently selling ships, having divested itself of around a dozen vessels in the past few years. Financial considerations have compelled the commodity trader to adopt an asset-light shipping policy. In December 2018, a new company was established from the remnants of the “Old Noble,” with most of the assets and business being transferred. Creditors now hold a 70% stake in the new entity, while the shareholders of the previous company retain 20%, and the management owns 10%.
15-November-2019
Copenhagen-based shipowner and operator Lauritzen Bulkers recruited Mette Stenild Gron as the company’s head of global operations. Previously, Mette Stenild Gron was working at compatriot Norden. Mette Stenild Gron will join Lauritzen Bulkers’ Copenhagen office on 1 January 2020. Lauritzen Bulkers aim to expand in short-term handysize bulk carrier chartering. Before joining Norden, Mette Stenild Gron worked for Simpson Spence Young (SSY) and Neu Seeschiffahrt. Shipowner and operator Lauritzen Bulkers sold off much of its owned fleet to focus on asset-light model.
15-November-2019
The cost marginally surpasses what Switzerland based shipowner and operator Massoel Shipping recently secured for the somewhat younger 2011 built handysize bulk carrier 32K DWT MV Thurgau. 2011 built handysize bulk carrier 32K DWT MV Thurgau, hailing from a Chinese shipyard, purportedly commanded a price of $6.7 million. Switzerland based shipowner and operator Massoel Shipping remains an active seller; however, in stark contrast to Oldendorff, it has been significantly contracting its fleet. Current shipbroker discussions suggest that the 2010 built handysize bulk carrier 32K MV Aargau, sister ship of the MV Thurgau, has been transferred for a sum of $5.8 million. Geneva-headquartered shipowner and operator Massoel Shipping remains silent, declining to confirm the sales’ particulars. Such transactions underscore the price fluctuations between ships built in China and those from Japan. Maritime intermediaries highlight that P&P Shipping from Greece procured an impressive $5.2 million for its Japanese 2001 built handysize bulk carrier 32K MV Atalanta, whose acquisition by an anonymous party has been noted.
15-November-2019
Hong Kong-listed shipowner and operator Pacific Basin Shipping expresses an asset-light model in other words pure chartering strategy fails to deliver in the charter-intensive segment. Pacific Basin Shipping is one of the largest handysize shipowners. Currently, some Danish and other ship operators concentrate on pure chartering and let others stress about owning the vessels. According to CEO Mats Berglund-led shipowner and operator Pacific Basin Shipping, an asset-light model is a risky business model. Pacific Basin Shipping assumes asset-light chartering fails to add value for the charterers or yields the utilization levels achieved by self-owned fleets that are complemented by third-party vessels and cargoes. Unlike the capesize market where a limited range of cargoes entails long ballast voyages and often pure shuttle trades for single charterers, the handysize market is a chartering-intense business. Hong Kong-listed shipowner and operator Pacific Basin Shipping is staying out of the larger vessel markets. Pacific Basin Shipping does not prefer the model of trading long-term time chartered bulk carriers, because of the risk. Whereas if you purchase the bulk carrier, you can get the timing wrong and still have time to make your money back during the life cycle of the bulk carrier. CEO Mats Berglund-led shipowner and operator Pacific Basin Shipping operates approximately 140 handysize bulk carriers, of which 83 are owned or under a long-term bareboat charter, 15 are on long-term time charter and the rest are taken in for single voyages. In the supramax bulk carrier segment, Pacific Basin Shipping’s proportion of owned bulk carriers is lower but increasing, with 34 owned out of about 90 operated. Pacific Basin Shipping plans to sell more of its smaller and older handysize bulk carriers and replace them with bulk carriers of more than 35K DWT. This includes supramax bulk carriers, where Pacific Basin Shipping predicts a stronger and more volatile chartering market that will benefit from larger bulk carriers. Pacific Basin Shipping is a strong believer in a large and uniform fleet of owned bulk carriers. However, Pacific Basin Shipping takes bulk carriers on Single-Voyage Time Charters (TCT - Time Charter Trip) to optimize the company’s owned bulk carriers. Over 90% of Pacific Basin Shipping bulk carriers’ days at sea are fully laden. Hong Kong-listed shipowner and operator Pacific Basin Shipping has only bulk carriers with cranes. On the other hand, Pacific Basin Shipping does not time charter the company’s bulk carriers out to other operators. According to Hong Kong-based shipowner and operator Pacific Basin Shipping, the asset-light operators are trading for the margin only. The asset-light operators have no control over the quality they deliver to clients. According to Hong Kong-based shipowner and operator Pacific Basin Shipping, today’s vessel designs and propulsion systems will be obsolete within 10 to 15 years.
15-November-2019
Nasdaq-listed Greek shipowner and operator Seanergy Maritime (SHIP) reported a net profit of $750K in Q3 2019. In Q3 2019, Seanergy Maritime (SHIP) reported a revenue of $24 million due to dry-dockings. Seanergy Maritime (SHIP) reported daily time-charter averages of $20,143 per day per ship. Athens-based shipowner and operator Seanergy Maritime (SHIP) anticipates a positive trend to continue in dry bulk markets and expects that the charter rates at elevated levels. In Q4 2019, Seanergy Maritime (SHIP) chartered out the capesize bulk carriers at a TCE (Time-Charter Equivalent) rate of $25,800.
15-November-2019
Thoresen Shipping, which is part of the Thoresen Thai Agencies (TTA), reported a profit of THB 234 million ($7.8 million) for the Q3 2019. Thoresen Thai Agencies subsidiary Thoresen Shipping has been pleased to achieve strong results in Q3 2019. Thoresen Shipping has maintained growth and outstanding performance. In Q3 2019, Thoresen Shipping reported a revenue of THB 1.78 billion. Currently, Bangkok-listed Thoresen Thai Agencies’ (TTA) subsidiary Thoresen Shipping controls a fleet of 21 supramax bulk carriers. Thoresen Shipping reported an average TCE (Time Charter Equivalent) of $12,180 per day during Q3 2019. In Q3 2019, the Baltic Supramax Index TCE (Time Charter Equivalent) rate was $11,886 per day. Singapore-based Thoresen Shipping contributed 46% of the Bangkok-listed Thoresen Thai Agencies (TTA) group’s consolidated revenues in Q3 2019.
15-November-2019
One of the world’s largest supramax bulk carrier operators Western Bulk Chartering (WBC) is rolling out extensive changes under Chief Executive Officer Hans Aasnaes, who replaced Jens Ismar in July 2019, as Oslo-based bulker operator Western Bulk Chartering (WBC) seeks to strengthen its operating discipline while maintaining the speed and market reach that define its chartering platform. Western Bulk Chartering (WBC) is closely associated with an asset-light ship operating model, and the shift under Chief Executive Officer Hans Aasnaes is framed as an effort to preserve Western Bulk Chartering (WBC)’s commercial agility while tightening governance after a costly breakdown in internal controls. Western Bulk Chartering (WBC)’s most prominent investors are pushing for expansion, and Chief Executive Officer Hans Aasnaes has been reorganising Western Bulk Chartering (WBC)’s risk management and business development teams to sharpen accountability, improve decision-making, and ensure growth initiatives do not dilute control standards. Chief Executive Officer Hans Aasnaes has emphasised that Western Bulk Chartering (WBC) needs a clear and straightforward split between business development and control, a structural separation designed to ensure chartering ambition is balanced by independent oversight, defined approval processes, and more robust challenge mechanisms around trading exposure and contract commitments. The urgency behind this reset was highlighted in January, when Norwegian bulker operator Western Bulk Chartering (WBC) disclosed that an ex-employee had entered into agreements based on unrealistic assumptions, pushing Western Bulk Chartering (WBC) into a $17.5 million loss and demonstrating how a large chartering platform can be vulnerable when risk authority is misused. Western Bulk Chartering (WBC) said it subsequently restructured the Chilean team and terminated the ex-employee’s contract, and Western Bulk Chartering (WBC) also implemented updated internal control routines intended to prevent unauthorised exposure, improve escalation, and ensure contract parameters align with realistic market assumptions. Chief Risk Officer Egil Husby described the Chilean case as very complex, highlighting that the losses were not simply a single pricing error but a broader issue tied to contract structure, assumptions, execution dynamics, and the way exposure accumulated over time. Western Bulk Chartering (WBC) has nevertheless said it is rebuilding a promising relationship with charterers in Chile and is working to expand the business further in Chile, signalling that Western Bulk Chartering (WBC) is attempting to restore commercial credibility in the market while applying stronger controls to the way business is booked and managed. Chief Risk Officer Egil Husby also said that after 15 years in risk management he is ready for a transformation, a message that aligns with Western Bulk Chartering (WBC)’s broader narrative of modernising processes, strengthening governance, and evolving the organisation without undermining its ability to trade quickly in a volatile market. The ownership backdrop remains important for the strategy: in 2016, Western Bulk Shipholding (WBS) sold its profitable Western Bulk Chartering (WBC) arm and the Western Bulk trademark to Christen Sveaas-controlled Kistefos Equity, and Western Bulk Chartering (WBC) has operated since then with substantial sponsor influence and capital support tied to Christen Sveaas-controlled Kistefos Equity. Christen Sveaas is described as holding a 77.5% stake in Western Bulk Chartering (WBC) through Christen Sveaas-controlled Kistefos Equity, and the shareholder is characterised as exceptionally positive toward investing in and supporting Western Bulk Chartering (WBC), while also pushing to grow the business and expand the platform’s reach. That combination of sponsor backing and operational reset is central to Western Bulk Chartering (WBC)’s current direction, because Western Bulk Chartering (WBC) operates at scale by deploying and fixing large numbers of bulk carriers through chartering rather than owning them outright, meaning credibility with shipowners, banks, and counterparties is tightly linked to governance and financial resilience. Western Bulk Chartering (WBC) has been attempting to reorganise the business in the broader post-2016 landscape in which Bulk Invest was previously named Western Bulk and Western Bulk Chartering (WBC) was restructured after the 2016 bankruptcy, and the Hans Aasnaes leadership period is being positioned as a phase where Western Bulk Chartering (WBC) aims to combine tighter risk controls with continued expansion, using its asset-light model, market presence, and chartering execution capabilities to build a stronger, more durable platform.
12-November-2019
Chinese shipping giant Cosco Shipping Bulk’s sister company Singapore-listed Cosco Shipping International reported a net profit of $0.87 million in Q3 2019. Chinese shipping giant Cosco Shipping Bulk’s sister company Singapore-listed Cosco Shipping International has been hit by higher costs. Cosco Shipping International reported lower earnings in Q3 2019. Cosco Shipping International reported revenue of $31 million in Q3 2019. Cosco Shipping Bulk’s sister company Singapore-listed Cosco Shipping International stated its bulk carriers had logged lower charter rates and the finance costs increased due to an increase in interest.
12-November-2019
Indian shipowner Essar Shipping Ltd has announced its strategic approach in response to the International Maritime Organization’s (IMO) 2020 regulations, which aim to reduce sulfur emissions from ships. The company plans to implement a combination of retrofitting certain vessels with scrubbers and using low-sulphur fuel oil (LSFO) for compliance. By April or May 2020, Essar Shipping Ltd intends to equip four of its ships with scrubbers. This retrofitting will be undertaken on their only very large crude carrier (VLCC), the 302K DWT MT Smiti, built in 2005, and three mini-capesize bulk carriers. The remaining fleet, comprising 12 ships, will adapt to the new regulations by using compliant bunkers. Essar Shipping Ltd expects the investment in scrubbers to be recouped within 18 to 24 months, contingent on the price differential between high-sulphur fuel and LSFO. However, the company acknowledges the inherent uncertainties in maritime forecasting due to numerous variables. These include demand and supply dynamics of tonnage, the number of ships currently in trade, scrapping rates, the number of vessels equipped with scrubbers, new ship orders, and the specific commodity cycles of different vessel types. Additionally, Essar Shipping Ltd pointed out that the shipping industry’s demand for deadweight tonnage is influenced by broader economic conditions. During economic recessions, the reduced demand for commodities leads to decreased production, which in turn lowers the shipping industry’s demand for carrying capacity. This nuanced understanding of market dynamics reflects Essar Shipping Ltd’s comprehensive approach to navigating the challenges and opportunities presented by the IMO 2020 sulfur cap.
11-November-2019
Norne Research has commenced an assessment of the burgeoning Belships, a distinguished Norwegian shipowner and operator listed on the Oslo Stock Exchange, bestowing it with a "buy" recommendation for its shares. Esteemed Analyst Mindaugas Cekanavicius articulated that this decision was precipitated by Belships' grand celebration of its centennial, wherein it augmented its roster of operating bulk carriers by over twofold, courtesy of a strategic merger, followed by consistent expansion via vessel procurements. Norne Research posits that the company's shares exhibit significant undervaluation, pinpointing a target price of $0.98. The alliance forged with the entity helmed by Frode Teigen, Lighthouse Navigation, last annum, resulted in an exponential enhancement in the number of vessels under Belships' proprietorship. This escalation was further complemented by subsequent vessel acquisitions, thereby metamorphosing Belships' armada from a modest seven to a robust 18 supramax and ultramax bulk carriers in a short span. This tally ascends to 23 when accounting for carriers awaiting delivery. Belships aspires to commandeer a fleet of 30 bulk carriers in due course. The esteemed company has not only emerged as the adept technical overseer of its own vessels and those of its contemporaries but has also introduced a division dedicated to commercial operations. Norne Research perceives Belships' immersion in the spot market to be enticing, noting a diminished reliance on the iron-ore and coal commerce in contrast to the archetypal enterprises in the capesize-panamax niche. The prestigious Belships, being a noteworthy entity on the Oslo Stock Exchange, has adeptly minimized its vulnerability to nation-centric demand, attributed to its extensive repertoire of trade conduits for minor bulks. The burgeoning appetite for minor bulks, along with a sustained demand trajectory for supramax-ultramax bulk carriers, is poised for growth. Concurrently, the reservation register for the supra/ultramax vessels showcases a historical nadir. Norne Research further extols Belships for its astute ownership and an impeccably balanced financial statement, wherein the net indebtedness is commendably restrained for an enterprise in the maritime realm.
11-November-2019
Athens-based New York-listed shipowner and operator Diana Shipping (DSX) proposes a repurchase of shares worth $10 million. Greek shipowner and operator Diana Shipping (DSX) has initiated a tender proposition to acquire as many as 2.74 million outstanding common units, priced at $3.65 each. This tender is set to conclude on 11th December 2019, unless otherwise extended or rescinded, as articulated by Diana Shipping (DSX). The esteemed Board of Directors at Diana Shipping (DSX) deemed it most advantageous for the firm to reclaim shares at this juncture, considering their robust financial standing and the prevailing stock valuation. In this endeavor, Diana Shipping (DSX) has engaged the services of Computershare Trust Company as the depositary, while appointing Georgeson as the information custodian. Earlier this year, Diana Shipping (DSX) divested a panamax bulk carrier, specifically the China-forged 73,700 DWT MV Clio (crafted in 2005), procuring a sum of $7.4 million from an anonymous acquirer. Over the preceding year, Diana Shipping (DSX) has successfully redeemed shares amounting to $48 million through four distinct offers, with the latest in June surging to $10 million. As per its Q3 2019 financial disclosures, Diana Shipping (DSX) boasted a cash reserve of $121.4 million as of 30th September 2019.
11-November-2019
Norwegian shipowner and operator Torvald Klaveness’s subsidiary Klaveness Combination Carriers (KCC) endeavors to enhance its fleet of pool ships while downsizing supramax operations. The Norwegian shipowner Klaveness Combination Carriers (KCC) is engaged in discussions with third parties, emphasizing panamax and post-panamax bulk carriers. Klaveness Combination Carriers (KCC) plans to reduce its involvement in supramax bulk carriers as it envisions a twofold increase in its pool fleets. Under its Klaveness Chartering division, the Klaveness Combination Carriers (KCC) manages vessels that specialize in panamax bulk carriers, kamsarmax bulk carriers, and post-panamax bulk carriers. Oslo-based Klaveness Combination Carriers (KCC) stated that significant synergies exist between this undertaking and the rest of the group. Klaveness Combination Carriers targets dry bulk as one of its markets, while Klaveness Digital, through its CargoValue platform, facilitates the sourcing and shipping of dry and wet raw materials for companies. To foster the growth and advancement of this business, Klaveness Combination Carriers (KCC) will prioritize the panamax to the post-panamax sector, primarily through its offices in Singapore, Dubai, and Oslo. As a result, Klaveness Chartering will diminish its activities in the supramax segment. Currently, CEO Lasse Kristoffersen-led Klaveness Combined Carriers (KCC) owns and operates 12 panamax/kamsarmax combination carriers with complete dry bulk capacity, and an additional five carriers are anticipated in 2020 and 2021. Norwegian shipowner and operator Torvald Klaveness handles commercial ship management for other shipowners through Baumarine. Torvald Klaveness administers the Baumarine and Bulkhandling pools. At present, Klaveness Combination Carriers (KCC) has approximately 25 vessels in the pools and aims to double this number through partnerships. Klaveness Combination Carriers (KCC) firmly believe that forging close partnerships with other leading players will enable the company to deliver an even superior product to more shipowners in the future. During the summer, Norwegian shipowner and operator Torvald Klaveness withdrew from chartering activities in China. Norwegian shipowner and operator Torvald Klaveness announced that its Shanghai office, inaugurated 16 years ago, would now solely focus on operations.
10-November-2019
Nasdaq-listed dry bulk shipowner and operator Pangaea Logistics Solutions refusing to use exhaust gas scrubbers as a way to meet IMO (International Maritime Organization) 2020 regulations. According to Pangaea Logistics Solutions, each exhaust gas scrubber costs around $2 million which is a risky idea and hard to quantify. According to Pangaea Logistics Solutions, installing an exhaust gas scrubber is a poor use of capital. Some shipowners have preferred exhaust gas scrubbers to leverage an expected price spread between high-sulfur and low-sulfur fuel oils. On the other hand, some shipowners have formed a scrubber advocacy group Clean Shipping Alliance 2020. According to Pangaea Logistics Solutions, shipowners and operators should use IMO (International Maritime Organization) compliant fuel because shipowners and operators cannot forever sidestep environmental regulations set by IMO (International Maritime Organization). According to Pangaea Logistics Solutions, in 2021, the majority of bulk carriers are going to consume IMO 2020 compliant fuel and open-loop scrubbers may harm the marine environment by churning sulphuric acid and then dumping it into the sea. United States-based Ed Coll-led Pangaea Logistics Solutions’ chartering and operations departments will need to adjust the books to run 65 owned and chartered bulk carriers on IMO 2020 compliant fuel.
10-November-2019
Pavimar SA has completed the sale of the 12-year-old supramax bulk carrier, MV Mary. The Greek shipping company Pavimar SA offloaded the 2007-constructed supramax bulk carrier, MV Mary, as part of its strategy to modernize and enlarge its fleet. Under the leadership of Ismini Panayiotides, Pavimar SA orchestrated the sale of the 52,000-dwt, Japanese-made MV Mary Lina (originally built in 2007) to a Vietnamese purchaser for $10.3 million. Pavimar SA acquired the vessel, previously known as Stella Maris and crafted by Tsuneishi Shipbuilding, from Kambara Kisen for $9.6 million in March 2017. Additionally, last month witnessed Pavimar SA divesting itself of the 76,000-dwt panamax bulk carrier MV Magic Moon (formerly MV Double Happiness), built in 2005, to the closely affiliated Greek company Castor Maritime, marking two years since its acquisition. In a similar move in October, Pavimar SA disposed of the 53,000-dwt supramax bulk carrier MV Ribbon, constructed in 2005, to Hai Nam of Vietnam for $9 million. Currently, the Athens-based Pavimar SA is recorded as having a fleet of 13 bulk carriers, averaging nine years of age.
8-November-2019
Portuguese shipowner and operator Portline Bulk International’s sister company Port Dragon Bulk measures that slow steaming can be more cost-effective than LNG propulsion for the mid-size bulk carrier segment. According to Lisbon-based shipowner and operator Portline Bulk International’s sister company Port Dragon Bulk, super slow-steaming can keep a standard ultramax bulk carrier in operation for another 24 years while compliant with the IMO’s (International Maritime Organization) decarbonization roadmap. IMO (International Maritime Organization) has endeavored to decrease greenhouse gas emissions from international shipping by 50% from 2008 before 2050. Conventional bulk carriers can stay on the IMO’s (International Maritime Organization) decarbonization roadmap through 2034 when deliberately decreasing operational speed to 10 knots. If ship operators reduce the speed to 8 knots, the bulk carriers would remain compliant with the IMO’s (International Maritime Organization) decarbonization roadmap aim until 2043. Port Dragon Bulk is a ship-operating agency of Lisbon-based Portline Bulk International. According to Portline Bulk International’s sister company Port Dragon Bulk, LNG propulsion is extremely expensive for ultramax shipowners. Furthermore, LNG bunker infrastructure also needs to be improved. According to Portline Bulk International’s sister company Port Dragon Bulk, shipowners need to have more time to use renewable energy fuels that can support to reach the IMO’s (International Maritime Organization) 2050 target.
7-November-2019
Norwegian shipowner and operator Torvald Klaveness’s subsidiary Klaveness Combination Carriers’ (KCC) combination carriers surpass conventional product tankers According to the Klaveness Combination Carriers (KCC), its exceptional vessels achieved rates 1.7 times higher than LR1s and MRs. Klaveness Combination Carriers (KCC) has reported that its extraordinary vessels achieved superior rates compared to standard product tankers by the conclusion of Q3. Currently, Klaveness Combination Carriers (KCC) possesses nine (9) CABU-type and three CLEANBU-type vessels, which transport bulk cargoes but are also capable of carrying caustic soda solutions and clean oil cargoes, respectively. CLEANBU-type vessels’ earnings concluded the Q3 at $22,802 per day, 1.7 times the market earnings of standard LR1 tankers, while the CABU-type vessels’ earnings reached $17,287 per day, 1.7 times that of regular MR tankers. Oslo-based shipowner and operator Torvald Klaveness’s subsidiary Klaveness Combination Carriers (KCC) is delighted to report significant TCE earnings improvements in Q3, with both CABU-type and CLEANBU-type vessels earning 1.7 times the earnings of comparable standard tanker ships.
7-November-2019
Dry bulk ship operator Norvic Shipping’s ex-employees established Denmark-based Delta Corp Europe ApS. Delta Corp Europe ApS intend to take along key former colleagues from Norvic Shipping’s chartering desks. Amid shipping market rumors that Chairman AJ Rahman-led dry bulk ship operator Norvic Shipping is up for sale, which AJ Rahman firmly rejected as it lays out a bid to grow beyond dry bulk operating through outside investment. Lately, Mudit Paliwal and Henrik Jeremiassen left Norvic Shipping and established Delta Corp Europe ApS. Delta Corp Europe ApS is 100% owned by Dubai-based Delta Corp Holdings Ltd. Dry bulk ship operator Norvic Shipping’s Dubai Office’s CEO Peter Borup was reluctant to be drawn on his former coworkers’ start-up business. Delta Corp Europe ApS. plans to follow an asset-light operating method similar to Norvic Shipping. Delta Corp Europe ApS hired approximately 20 employees for the new start-up in Denmark. Previously, Mudit Paliwal was COO (Chief Operating Officer) and Henrik Jeremiassen was MD (Managing Director) of Norvic Shipping’s Denmark office. Mudit Paliwal was hired by Norvic Shipping as a veteran of Caravel Group, where Mudit Paliwal was MD (Managing Director). Henrik Jeremiassen held leading roles at Ultrabulk and Thoresen Thai Agencies. Mudit Paliwal and Henrik Jeremiassen left Norvic Shipping after CEO Peter Borup recruited from J Lauritzen.
7-November-2019
Bangkok-based shipowner and operator Precious Shipping is anticipating a pleasant effect from IMO (International Maritime Organization) 2020 low-sulfur rules in 2020. According to Precious Shipping, handy bulk carrier supply will be limited by slow-steaming and scrapping. Thai-listed shipowner and operator Precious Shipping explained that in the handy bulk segment, just 4% of bulk carriers are programmed to fit scrubbers, whilst most handy bulk shipowners are planning to burn LSFO (Low Sulphur Fuel Oil). Precious Shipping predicts that due to the higher cost of LSFO (Low Sulphur Fuel Oil), bulk carrier speeds will be slowed. According to Precious Shipping, new bulk carrier deliveries will not be able to match the reduction in supply due to increased scrapping and slow-steaming. Thai-listed shipowner and operator Precious Shipping reported a net loss of $0.96 million in Q3 2019.
7-November-2019
Cleaves Securities has revised its outlook on the bulk carrier sector due to softening rates and an increase in fleet supply. Joakim Hannisdahl, the head of research at Cleaves Securities, anticipates a temporary period of weakness before a return to growth in 2020. The resurgence of scrubber-equipped bulk carriers in the market has led Cleaves Securities to adopt a more cautious stance on bulk carriers. “Currently, dry bulk rates face considerable pressure, and the reintroduction of vessels fitted with scrubbers is a concern,” Joakim Hannisdahl stated. The Oslo-based analyst, Joakim Hannisdahl, has downgraded Cleaves Securities’ overall rating on the dry bulk sector from ‘buy’ to ‘hold’, predicting a 12% increase in dry bulk shares over the coming year amid temporary market challenges. “The market does offer undervalued opportunities and potential deals in the coming months as it recovers from a mid-2020 lull,” mentioned Joakim Hannisdahl. Cleaves Securities anticipates a 61% rise in the index over two years and suggests purchasing on dips throughout 2020. In September 2019, dry bulk spot rates hit a nine-year peak, allowing many shipowners to enjoy extended periods of profit well above their cash breakeven points. Nonetheless, Joakim Hannisdahl has recently lowered his forecasts for capesize bulk carrier spot rates for November and December. He recommends long-term investors maintain their holdings in Genco Shipping, Golden Ocean, and Star Bulk, whereas investors with a focus on trading might consider selling Scorpio Bulkers.
7-November-2019
Taiwan Navigation Company (TNC), a prominent Taiwanese shipowner and operator, has recently revealed its newbuilding orders, demonstrating its commitment to expanding its fleet. The orders encompass two bulk carriers to be constructed at separate Japanese shipyards. Specifically, Taiwan Navigation Company (TNC) has placed an order for an 80,000 deadweight tons (DWT) bulker with Namura Shipbuilding and a 60,000 DWT bulker with Oshima Shipbuilding. The combined value of these contracts amounts to $64.1 million. This announcement follows Taiwan Navigation Company’s (TNC) previous orders earlier in the year for two 81KDWT kamsarmax bulk carriers from Oshima Shipbuilding and two 80K DWT kamsarmax bulk carriers from Namura Shipbuilding. These strategic acquisitions align with Taiwan Navigation Company’s (TNC) goals to enhance and diversify its fleet. Presently, Taiwan Navigation Company (TNC) operates a fleet comprised of 18 bulk carriers, and these newbuildings will further contribute to their fleet expansion efforts.
6-November-2019
Athens-based New York-listed shipowner and operator Diana Shipping (DSX) has divested another panamax bulk carrier. To date, this marks the sixth panamax bulk carrier that Diana Shipping (DSX) has parted with this year. The esteemed company finalized the sale of the China-fabricated 73,700 DWT panamax bulk vessel, MV Clio (constructed in 2005), to an anonymous entity for a sum of $7.4 million. The Athens-centric Diana Shipping (DSX) has previously relinquished five additional panamax bulk carriers since the commencement of the year, coupled with another duo in November 2018, each aging at least 14 years or more. The illustrious 73,700 DWT panamax bulk carrier MV Clio culminated a year-long charter with the Hong Kong-established Ausca Shipping on 5 November 2019, during which it amassed a handsome gross rate of $10,600 daily. The MV Clio is anticipated to rendezvous with its new custodian by 29 November at the latest. This transaction illuminates the stark discrepancy between the valuation of Chinese-constructed panamax bulk carriers of this era and their Japanese counterparts. Upon completion, the armada of Diana Shipping (DSX) will boast 42 bulk carriers, inclusive of four newcastlemax bulk vessels, 14 capesize carriers, five post-panamax vessels, five kamsarmax vessels, and 14 panamax carriers.
6-November-2019
Monaco-based Oslo OTC (Over The Counter) listed shipowner and operator GoodBulk Ltd reported profit for tenth consecutive quarter. GoodBulk Ltd reported a net profit of $19.9 for the Q3 2019. John Michael Radziwill-led GoodBulk Ltd reported earnings per share of $0.66 for the Q3 2019. On the other hand, GoodBulk Ltd booked a $3.8 million profit from selling its 2007 built supramax bulk carrier 69K DWT MV Aquakula. In Q3 2019, the Baltic Capesize Index (BCI) averaged $29,365 per day, which Monaco-based shipowner and operator GoodBulk Ltd observed is 32.2% above the same period 2018. Oslo-listed GoodBulk Ltd is the public arm of privately-owned C Transport Maritime (CTM). GoodBulk Ltd is benefiting from the current robust shipping market. Furthermore, GoodBulk Ltd reported the company’s seventh consecutive quarterly cash dividend of $0.84 per common share. Dividend of $0.84 per common share equates to cumulative dividend distribution of $2.46 per share or 22.36% of the price of GoodBulk Ltd’s initial share price when the company listed on the Norwegian OTC (Over The Counter) market in March 2017. Currently, Monaco-based GoodBulk Ltd owns a fleet of 26 large bulk carriers.
6-November-2019
Tokyo-based shipowner and operator K Line Bulk (Kawasaki Kisen Kaisha) ordered newcastlemax bulk carrier newbuilding 210K DWT at Japan Marine United (JMU). Japanese shipowner and operator K Line Bulk (Kawasaki Kisen Kaisha) ordered newcastlemax bulk carrier newbuilding 210K DWT on the back of a long-term charter from JFE Steel. Tokyo Stock Exchange-listed shipowner and operator K Line Bulk (Kawasaki Kisen Kaisha) will get the delivery of newcastlemax bulk carrier newbuilding in Q1 2021. Japanese shipowner and operator K Line Bulk (Kawasaki Kisen Kaisha) chartered out the newcastlemax bulk carrier for the carriage of iron ore and coal for JFE Steel. Compatriot shipowner NYK Bulk had ordered an identical newcastlemax bulk carrier newbuilding at Japan Marine United (JMU). NYK Bulk and K Line Bulk (Kawasaki Kisen Kaisha) will take the delivery of newcastlemax bulk carrier newbuilding in Q1 2021.
6-November-2019
Athens-based ship-manager Niriis Shipping has been renewing and expanding its fleet amid the rising number of deals for vintage panamax bulk carriers. Dimitris Gousis-led Niriis Shipping does not own ships but is solely managing them on behalf of various shipowners. In 2019, Greek ship-manager Niriis Shipping acquired three (3) panamaxes bulk carriers and one (1) handysize bulk carrier in the name of numerous shipowners. Greek ship-manager Niriis Shipping acquired 2004 built panamax bulk carrier 76K DWT MV Ivestos I (ex MV Kavo Manali), 2005 built panamax bulk carrier 76K DWT MV Elnath (ex MV Rosali) and 2004 built handy bulk carrier 32K DWT MV Marina K (ex MV Aurora Bulker). Furthermore, Athens-based ship-manager Niriis Shipping acquired 2004 built panamax bulk carrier 76K DWT MV Ivestos II (ex MV Vamos) from Avin International. Niriis Shipping was established in 2013. Lately, SwissMarine, Rigos Marine Enterprises, Hajioannou, W Marine, Stefanou Brothers, and Monte Nero Maritime invested in bulk carriers. Athens-based ship-manager Niriis Shipping bets is that strong freight rates throughout the panamax bulk carriers’ remaining trading life could be profitable.
6-November-2019
Commodity trading and ship chartering giant Trafigura cooperated with DBS Bank to start a blockchain trading platform in Singapore. Jeremy Weir-led ship chartering giant Trafigura strived at cutting paperwork and enhancing business flows. The first blockchain trading transaction involves iron ore cargo to be exported from Africa to China. Commodity trading and ship chartering giant Trafigura’s blockchain trading is executed on the ICC Tradeflow platform. Furthermore, ICC Tradeflow platform has the backing of Infocomm Media Development Authority (IMDA) as well as the ICC (International Chamber of Commerce), and Perlin. Commodity trading and ship chartering giant Trafigura and DBS Bank expressed they intend to reduce end-to-end trade document transit time by more than half. Commodity trading and ship chartering giant Trafigura and DBS Bank will resume enhancing the digital platform. Trafigura’s Asia-Pacific CEO Tan Chin Hwee commented that Trafigura successfully embrace international business finance technology. Commodity trading and ship chartering giant Trafigura and DBS Bank’s collaboration is a promising beginning and this will stimulate the business district to create and pioneer the latest innovations that can strengthen Singapore’s function as the ultimate commodity trading hub.
6-November-2019
Formerly known as Claus-Peter Offen Tankschiffreederei (CPO Tankers), an erstwhile tanker management branch of the Offen Group, it has been christened anew as Zeaborn Ship Management Tanker (Zeaborn Tankers) by its recent proprietor, the Zeaborn Group. This transition of Claus-Peter Offen Tankschiffreederei (CPO Tankers), under the aegis of Zeaborn Ship Management GmbH & Co. KG materialized in June, subsequent to an agreement heralded in May. As of November 4, it has begun operations under its new designation. Under the prestigious moniker of Zeaborn Ship Management GmbH & Co. KG, Zeaborn Ship Management Tanker (Zeaborn Tankers) shall function as a legally autonomous entity, encapsulating all the ship management ventures Zeaborn Group has to offer. In alignment with Zeaborn Ship Management GmbH & Co. KG’s vision to further amalgamate the maritime sector and to augment Zeaborn Ship Management GmbH & Co. KG’s stature as a unified, global maritime enterprise, venturing into the tanker management realm was a coherent progression. The adept management and dedicated workforce of Zeaborn Ship Management Tanker (Zeaborn Tankers), coupled with the impeccable fleet and organizational prowess, harmonize seamlessly with the ethos of Zeaborn Ship Management GmbH & Co. KG.
5-November-2019
US chartering and trading giant Cargill Ocean Transportation, Japanese shipowner Mitsui & Co, and Maersk Tankers to test eco methods and technologies and eventually aim to share them for a cut of the bunker savings. Jan Dieleman-led Cargill Ocean Transportation and Mitsui & Co teamed up with Maersk Tankers in early October to establish a coordinated project to share their knowledge of how to make cuts to greenhouse gas emissions from the vessels Cargill, Mitsui, and Maersk Tankers own or operate. US chartering and trading giant Cargill Ocean Transportation, Japanese shipowner Mitsui & Co, and Maersk Tankers will establish a new stand-alone operation that would have the skills, technology, and finance to deliver turnkey solutions for other partners to decrease carbon emissions. Payback for the investment would be through bunker savings. US chartering and trading giant Cargill Ocean Transportation, Japanese shipowner Mitsui & Co, and Maersk Tankers have started an initial 12-month pilot project on around 30 tankers and bulkers, testing emission-saving technologies and techniques. Cophenhagen-based Maersk has extensive experience in testing out new technologies because the company has such an extensive fleet that Maersk can outstretch the investments. Maersk Tankers aim to decrease carbon emissions for the shipping industry as a total. Previously, Maersk Tankers has made bunker savings of 8.2% on a product tanker that had two (2) Flettner rotor sails fitted. Furthermore, Maersk Tankers is testing optimal power management at the port, automated lubrication, and route optimization with SIMBunker digital tool. US chartering and trading giant Cargill Ocean Transportation operates about 700 vessels at any one time. Cargill Ocean Transportation has already commenced cleaning up the company’s fleet by being selective of the type of ships chartered as the first step in decarbonizing the shipping industry. According to Cargill Ocean Transportation, complete decarbonization will merely be accomplished with new fuels and technologies in years to come. Mitsui & Co carries a tremendous scale as a trading house, shipbroking and shipowning expertise, and a substantial network among Japanese, South Korean, and Chinese shipbuilders. Mitsui & Co want to contribute to this environmentally-friendly programme. Mitsui & Co has been already speaking to Japanese shipowners who are considering fitting energy-saving appliances to their fleet. Mitsui & Co said testing and proving technologies to cut greenhouse gases will give capital providers the confidence to finance retrofitting the equipment. US chartering and trading giant Cargill Ocean Transportation believes that after the first year, the three players will examine whether to resettle the project into a formal joint venture with a stand-alone management system.
5-November-2019
Singapore based shipowner and operator Dasin Shipping Pte. Ltd. signed leaseback agreement with Chinese giant Cosco Leasing for eight (8) supramax bulk carriers. Cosco Leasing which is the leasing arm of Cosco Shipping Development Corporation (CSDC) has acquired eight (8) supramax bulk carriers in a sale and leaseback deal. Eight (8) supramax bulk carriers were built between 2008 and 2012 at Jiangsu Hantong Shipyard:
- MV Mandarin China (57K DWT built 2011)
- MV Dalian (57K DWT built 2010)
- MV Eagle (57K DWT built 2008)
- MV Hantong (57K DWT built 2011)
- MV Noble (57K DWT built 2012)
- MV Phoenix (57K DWT built 2010)
- MV River (57K DWT built 2011)
- MV Singapore (57K DWT built 2011)
Currently, Singapore based shipowner and operator Dasin Shipping Pte. Ltd. controls 21 bulk carriers. Dasin Shipping Pte. Ltd is a unit of China Dalian International Economic & Technical Cooperation Group. Dasin Shipping Pte. Ltd was established as the ship management arm of Dasin Holdings Pte. Ltd.
5-November-2019
Nasdaq-listed shipowner and operator Eagle Bulk Shipping (EGLE) reported a $4.56 million deficit for Q3 2019. In Q3 2019, Eagle Bulk Shipping reported a revenue of $74 million and operating costs of $68 million. In Q3 2019, Eagle Bulk Shipping explained that the BSI (Baltic Supramax Index) was quite volatile with spot rates rising to multi-year highs before declining by the beginning of Q4. Eagle Bulk Shipping reported TCE (Time Charter Equivalent) a 13% increase over the Q3 2019. Eagle Bulk Shipping’s Q4 TCE (Time Charter Equivalent) performance of $13,150 per day has not been this high since 2014. Nasdaq-listed shipowner and operator Eagle Bulk Shipping (EGLE) informed that the operating performance continues to be affected by the scrubber installation program.
5-November-2019
New York-listed shipowner Genco Shipping & Trading’s regular dividend policy gives the company optionality in returning value to shareholders. John Wobensmith-led Genco Shipping & Trading published plans to give a $0.175 dividend to shareholders every quarter. The idea of the regular dividend is to return cash to stockholders but also give the Genco Shipping & Trading with optionality. Giving a regular dividend is the most powerful way to bring share valuation closer to Genco Shipping & Trading’s net asset value of about $14 per share. Genco Shipping & Trading plans to buy back shares and invest in more bulk carriers.
5-November-2019
Copenhagen-based shipowner and operator Dampskibsselskabet DS Norden A/S reported an adjusted net loss of $4 million for Q3 2019. Scrubber installations onboard Danish shipowner and operator Dampskibsselskabet DS Norden’s A/S tankers have affected the company’s Q3 2019 results. Dampskibsselskabet DS Norden A/S has determined to start a share buy-back programme of up to $10 million in total. Dampskibsselskabet DS Norden A/S expressed that the tanker unit’s loss was due to seasonally soft spot rates and tankers were taken out of charter for planned scrubber installations. Dampskibsselskabet DS Norden’s A/S BOD (Board of Directors) approved for the buyback programme on 11 April. The Q1 2019 was challenging for Dampskibsselskabet DS Norden A/S with an occasional trading possibility. The Q3 2019 has provided more opportunities for Dampskibsselskabet DS Norden A/S. In late October 2019, Danish shipowner and operator Dampskibsselskabet DS Norden A/S reduced the company’s profit expectations for 2019 after uncovering an error in the bookkeeping. Dampskibsselskabet DS Norden A/S repeated this recommendation and added that the company anticipates a robust Q4 2019.
5-November-2019
NRP Maritime Asset Management AS (MAM) is advancing plans to introduce new funds aimed at the ship financing sector, under the leadership of Wilhelm Magelssen and Nicolai Heidenreich. By integrating Wilhelm Magelssen, a former Pareto executive, NRP Maritime Asset Management AS (MAM) is poised to develop a credit fund specifically designed for smaller shipowners. This initiative is part of NRP Maritime Asset Management AS (MAM)’s broader strategy to expand its investment and ship financing activities, further bolstered by the addition of a new partner. As a significant entity in Norway’s maritime asset management field, NRP Maritime Asset Management AS (MAM) intends to leverage the opportunity to bridge the financing gap for industry fleet expansion, now overseeing three funds with a collective equity of $75 million. The organization’s major investors include prestigious shipping entities such as Tudor, Klaveness Marine, and JO Capital. Led by Heidenreich, NRP Maritime Asset Management AS (MAM) has actively explored both equity and debt investment avenues, mindful of the shifts in capital costs and their impact on the shipping industry. NRP Maritime Asset Management AS (MAM) is particularly focused on addressing the financing challenges faced by privately owned shipowners with smaller fleets, providing them with tailored loan options. The company’s investment strategy targets secure debt structures to aid quality borrowers now sidelined by traditional debt financing. With Magelssen’s deep expertise in maritime finance, NRP Maritime Asset Management AS (MAM) is strategically positioned to exploit this niche, aiming to draw interest from family offices and institutional investors for its forthcoming fund. This endeavor underscores NRP Maritime Asset Management AS (MAM)’s innovative approach within the NRP Group, demonstrating its dedication to driving growth and profitability in the maritime industry through strategic financial solutions.
5-November-2019
Nasdaq-listed dry bulk shipowner and operator Pangaea Logistics Solutions sold two vintage bulk carriers. Pangaea Logistics Solutions sold 2001 built supramax bulk carrier 52K DWT MV Bulk Juliana for around $6.5 million and 1996 built panamax bulk carrier 70K DWT MV Bulk Patriot for around $4.5 million. Pangaea Logistics Solutions awaits to deliver the bulk carriers in December 2019. Currently, Pangaea Logistics Solutions operates a fleet of 50 bulk carriers, 22 of which the company owns. In Q3 2019, Pangaea Logistics Solutions reported a net profit of $8.3 million. In Q3 2019, Pangaea Logistics Solutions reported $0.19 earnings per share. In Q3 2019, Pangaea Logistics Solutions reported a revenue of $119 million. In Q3 2019, Pangaea Logistics Solutions’ operating fleet increased from an average of 40 bulk carriers to 50 bulk carriers. Furthermore, Pangaea Logistics Solutions has ordered four (4) ice-class panamax newbuilding bulk carriers. Pangaea Logistics Solutions is in a good position without investing in scrubber technology.
5-November-2019
Simeon Palios, the CEO of Athens-based New York-listed shipowner and operator Diana Shipping (DSX), has made recent management announcements that involve transitioning CEO positions to family members. This move has highlighted the unique nature of Diana Shipping (DSX) and its sister company, Performance Shipping (PSHG), which are Nasdaq-listed but also family-run businesses. The industry’s governance watchdog has taken notice of this situation, raising questions about the mixing of family and public ownership and its implications for corporate governance. Specifically, Simeon Palios plans to appoint his daughter, Semiramis Paliou, as the CEO-in-waiting at Diana Shipping (DSX) and his son-in-law, Andreas Michalopoulos, as the deputy CEO at Performance Shipping (PSHG). Michael Webber, the founder of a shipping corporate governance scorecard, expressed concerns that these appointments do not align with best governance practices. Michael Webber emphasized that when a publicly listed company is run as if it were private and corporate responsibilities are not taken seriously, it can negatively impact the market’s perception of the company. Michael Webber, who now heads his own firm, Webber Research & Advisory, has maintained the governance scorecard he established in 2016 and plans to release an updated version in the near future. In his previous rankings, Diana Shipping (DSX) ranked 51st out of 56 evaluated companies, indicating room for improvement in corporate governance. Performance Shipping (PSHG), formerly known as Diana Containerships, was not separately ranked but faced legal challenges related to alleged securities fraud. While concerns about governance practices are raised, it’s worth noting that the qualifications of the appointed successors are not in question. Semiramis Paliou has served as the Chief Operating Officer of Diana Shipping (DSX) since 2018, holding a similar position at Performance Shipping. Andreas Michalopoulos has been the Chief Financial Officer of Diana Shipping (DSX) since 2010. Diana Shipping (DSX) is recognized for its conservative chartering strategy and operates a fleet of 43 bulk carriers.
5-November-2019
Greek shipowner and operator Pioneer Marine sold 2006 built handysize bulk carrier 26K DWT MV Fortune Bay for around $6 million. Pioneer Marine is going to deliver the MV Fortune Bay to the new owners in Q1 2020. In April 2019, Athens-based shipowner and operator Pioneer Marine sold 2003 built handymax bulk carrier 46K DWT MV Fortune Bay for around $10 million. Pioneer Marine has reported that after a challenging Q1 2019 the dry bulk shipping markets bounced back in Q3 2019. According to Pioneer Marine, the positive sentiment affected smaller sizes Furthermore, an increase in minor bulk trades affected handysize bulk carrier freight rates. Besides its bulk carriers, Pioneer Marine manages five (5) handysize bulk carriers of Tufton Oceanic Funds. Currently, Oslo over-the-counter (OTC) listed Pioneer Marine operates 25 handysize bulk carriers.
5-November-2019
The maritime firm S’hail Shipping and Maritime Services, based in Qatar, is on a strategic path to augment its fleet with additional bulk carriers while also setting sights on Offshore Support Vessels (OSVs). This ambitious Qatari shipowner and operator is planning to acquire more bulk carriers to satisfy increasing market demand. With a current fleet poised for expansion, S’hail Shipping and Maritime Services anticipates the acquisition of two more vessels by the beginning of 2025, which will elevate its fleet total to nine ships. Mohammad Khalifa Al Sada, the chairman of S’hail Shipping and Maritime Services, has expressed the company’s focus on acquiring modern bulk carriers, specifically those within the 70K to 80K DWT range. Furthermore, S’hail Shipping and Maritime Services is exploring opportunities to venture into the offshore vessel sector, aiming to serve Qatari enterprises, notably Qatar Petroleum. In a notable development in May 2023, S’hail Shipping and Maritime Services invested approximately $20 million in two bulk carriers for the importation of gabbro among other goods. Rajiv Pal, CEO of S’hail Shipping and Maritime Services, mentioned that the financing for the latest bulk carriers would be entirely covered by the Qatar Development Bank. Established in 2016 with an initial fleet of four bulk carriers, S’hail Shipping and Maritime Services embarked on its journey only to encounter the challenges posed by an economic embargo from neighboring countries. This led to operational difficulties for its vessels in the Arabian Gulf. In response, S’hail Shipping and Maritime Services made a strategic decision to broaden its operational horizon to a global scale.
4-November-2019
New York-listed shipowner Genco Shipping & Trading is planning to issue its first dividend in several years. Genco Shipping & Trading is going to begin a regular quarterly dividend policy. Genco Shipping & Trading’s shareholders will soon get dividends that shareholders have not received in several years. On 5 December 2019, Genco Shipping & Trading’s stakeholders are going to receive a $0.325 special dividend and a $0.175 regular dividend through a regular quarterly dividend policy. The last time that Genco Shipping & Trading issued a dividend was in 2011. Genco Shipping & Trading has come back from a 2014 bankruptcy through a vital strategy launched in 2016 that introduced raising $125 million in capital. In 2017, Genco Shipping & Trading appointed John Wobensmith as the new CEO. Genco Shipping & Trading is distributing dividends to stockholders despite reporting a net loss in Q3 2019.
4-November-2019
Onomichi-based shipowner Abo Shoten Ltd. has once again turned to Japanese shipowner and operator Kambara Kisen Co., Ltd. for the acquisition of a supramax bulk carrier, purchasing the 2016-built Tsuneishi-designed supramax bulk carrier MV Fortune Symphony for $20.8 million, a price reported to be slightly below prevailing market levels, as part of Abo Shoten Ltd.’s ongoing fleet enhancement strategy during its 60th anniversary year, which now brings its supramax bulk carrier fleet to a total of six ships; this transaction marks a continued relationship between the two Japan-based shipowners, following Abo Shoten Ltd.’s acquisition of the 2014-built supramax bulk carrier MV ASL Era (ex MV Majulah Singapura) for $19.3 million from Kambara Kisen Co., Ltd. in November 2018; Kambara Kisen Co., Ltd., established in 1903 and headquartered in Hiroshima, is a core maritime division of Japan’s Tsuneishi Group and owns a diverse fleet of approximately 50 ships, primarily handymax and kamsarmax bulk carriers built by Tsuneishi Shipbuilding Co., Ltd, while also expanding into oil tankers and container carriers to serve a wide range of charterers worldwide; the company is known for its deep operational expertise in ship management and its global logistics network, delivering marine transportation services across the Pacific and Indian Oceans with a strong focus on safe navigation, technical excellence, and environmental compliance, and it operates in close collaboration with its group’s international shipyards in China and the Philippines, as well as through its Singapore-based subsidiary Kambara Kisen Singapore Pte Ltd, which enhances its global presence and supports its mission to provide high-quality and sustainable shipping solutions across major trade routes.
4-November-2019
Copenhagen-based shipowner and operator Dampskibsselskabet DS Norden A/S strives to more dividends to shareholders. Dampskibsselskabet DS Norden A/S is tweaking the company’s finances setup ahead of what Dampskibsselskabet DS Norden A/S anticipates to be a strong Q4. In 2019, Dampskibsselskabet DS Norden A/S sold nine ships. Dampskibsselskabet DS Norden A/S lowered the company’s capital cost and declared a share buyback plan. Copenhagen-listed shipowner and operator Dampskibsselskabet DS Norden A/S notices the new share buyback programme as a method of producing cash to shareholders and boosting the value of the company’s shares. Dampskibsselskabet DS Norden A/S has been concentrating on asset-light evolution in the shipping business. Danish shipowner and operator Dampskibsselskabet DS Norden A/S intends to spend up to $10 million on purchasing a maximum of 4.22 million of the company’s shares during the programme. Dampskibsselskabet DS Norden A/S will run share buy programme until 28 February 2020. According to Dampskibsselskabet DS Norden A/S, there have been exceptionally few profitable years since the international financial crisis in 2008 and numerous investors have lost interest in shipping. Dampskibsselskabet DS Norden A/S expressed that the returns in the shipping industry have not been very profitable in that period. Dampskibsselskabet DS Norden A/S won’t be selling any additional ships for the time being. Dampskibsselskabet DS Norden A/S focus on asset-light business model. Dampskibsselskabet DS Norden A/S anticipates a more robust Q4. Quite weak demand and quite low rates for Dampskibsselskabet DS Norden’s A/S fleet in Q3 2019. Furthermore, Dampskibsselskabet DS Norden A/S will be affected by IMO (International Maritime Organization) regulations for emissions which the fleet has to switch to a new bunker type. Dampskibsselskabet DS Norden’s A/S operated bulk carrier fleet placed itself successfully during Q3 2019. In Q3 2019, Dampskibsselskabet DS Norden A/S operated around 285 bulk carriers. Danish shipowner and operator Dampskibsselskabet DS Norden A/S has been decreasing the owned fleet. Currently, Dampskibsselskabet DS Norden A/S has a fleet of owned 14 bulk carriers.
3-November-2019
Oslo-based NRP Maritime Asset Management AS (MAM), a branch of the Norwegian finance company NRP (Ness, Risan & Partners), is gearing up to expand its financial offerings specifically targeting the shipping sector. The company plans to capitalize on the substantial funding gap for fleet expansion among smaller shipowners by introducing a credit fund. This strategic move is driven by the increasing difficulty these shipowners face in securing adequate funding from traditional sources. Recently, NRP Maritime Asset Management AS (MAM) has been joined by Wilhelm Magelssen, a seasoned expert in maritime finance, who previously spent 12 years at Pareto. His addition is expected to significantly strengthen NRP Maritime Asset Management AS’s (MAM) capability in structuring and managing investment funds focused on the maritime industry. Under the leadership of managing partner Nicolai Heidenreich, and with the new partnership with Wilhelm Magelssen, NRP Maritime Asset Management AS (MAM) is enhancing its focus on maritime investments, particularly through its credit fund initiative. This fund aims to provide asset-backed loans to quality shipowners who, despite having smaller fleets, demonstrate strong operational and commercial performance akin to larger shipping corporations. NRP Maritime Asset Management AS (MAM) believes that these owners are often overlooked by traditional shipping banks, which prefer to cater to larger, more capital-intensive clients. By offering these loans, NRP Maritime Asset Management AS (MAM) aims to bridge this funding gap, thereby supporting the growth and sustainability of these smaller shipowners. NRP Maritime Asset Management AS (MAM) currently manages three funds and has successfully raised capital for its latest fund in late 2018. The firm continues to focus on identifying promising investment opportunities in the maritime sector, expecting to review between 15 and 30 potential investments annually. The team at NRP Maritime Asset Management AS (MAM) utilizes a counter-cyclical investment approach, a strategy that has historically proven profitable in the volatile shipping industry. The establishment of the credit fund is part of a broader strategy to diversify NRP Maritime Asset Management AS’s (MAM) investment offerings and respond to the current trends and needs within the maritime financing landscape. This initiative is expected to attract interest from a variety of investors, including family offices and institutional investors across Norway and Europe, looking for stable, yield-generating opportunities in the maritime sector.
2-November-2019
Hong Kong-listed shipowner and operator Pacific Basin Shipping will raise $175 million via selling convertible bonds. Mats Henrik Berglund led Pacific Basin Shipping will use the money for fleet expansion, renewal, and general corporate purposes. Pacific Basin Shipping’s bonds would mature in December 2025 with a bondholder’s put option in December 2023. Pacific Basin Shipping’s bonds’ initial conversion price is set at $0.31 per share, representing a 31.9% premium on the closing share price of 31 October 2019. According to CEO Pacific Basin Shipping’s CEO Mats Henrik Berglund, a $175 million bond plan is attractive and beneficial to shareholders. $175 million bond plan is on attractive terms that would enhance the Pacific Basin Shipping’s balance sheet and liquidity position to support the organic expansion and renewal of the fleet. Out of a $175 million bond plan, $49.5 million would be used to fund the earlier acquisition of four handysize bulk carriers. In September 2019, Pacific Basin Shipping acquired two (2) supramax and two (2) handysize bulk carriers for about $74 million. In September 2019, Pacific Basin Shipping was planning to fund the acquisition of four (4) second-hand bulk carriers with cash and selling new shares worth about $25 million. HSBC, BNP Paribas, and DNB Banks are acting as the joint lead managers for a $175 million bond issue which is subject to Pacific Basin Shipping’s shareholders’ approval.
1-November-2019
China’s National Council for Social Security Fund (SSF) has taken a 10% stake in shipping giant Cosco Shipping as part of China’s pension reform. Cosco Shipping Bulk is a subsidiary of Cosco Shipping. Cosco Shipping Energy Transportation, which is another subsidiary of Cosco Shipping, has reported that the state-owned Assets Supervision and Administration Commission has transferred the 10% stake to the Social Security Fund (SSF) for free. Previously, the state-owned Assets Supervision and Administration Commission owned 100% of Cosco Shipping. Currently, Cosco Shipping is China’s biggest shipping company. China has selected to transfer state capital into the Social Security Fund (SSF). The Chinese government has strived to move a substantial portion of the government’s stakes in state-owned corporations to the Social Security Fund (SSF) by the end of 2020.