Costamare Bulkers divests six smaller vessels as it targets bigger-sized ships

Greek shipowner Costamare Bulkers Holdings Limited is moving ahead with its fleet renewal after confirming the sale of six smaller dry bulk vessels. The New York-listed owner has disposed older and smaller tonnage as it targets bigger-sized vessels.

The company concluded the sale of six vessels, generating net sale proceeds after debt prepayment of $44m.

The shipowner announced the disposal of the 58,018-dwt Pythias (2010-built), the 35,995-dwt Bernis (2011-built), the 37,152-dwt Acuity (2011-built), the 37,163-dwt Verity (2012-built), the 37,071-dwt Equity (2013-built) and the 37,152-dwt Parity (2012-built).

Meanwhile, Costamare Bulkers is continuing its buying spree by snapping up bigger-sized vessels.

The shipowner reported the conclusion of the acquisition of the 2012-built, 176,387-dwt dry bulk vessel Imperator (ex. Imperator Australis).

As of Nov. 13, Costamare Bulkers fleet portfolio will consist of 31 owned dry bulk vessels of a total capacity of approximately 2.8 million dwt: 7 capesize vessels out of which 6 are on period charters. – 7 kamsarmax vessels out of which 5 are on period charters. – 8 ultramax vessels all of which are on period charters. – 9 supramax vessels out of which 7 are on period charters.

The majority of the period charters are on index-linked charter agreements with owner’s option to convert to fixed rate based on the prevailing FFA curve.

Costamare Bulkers also owns a dry bulk operating platform (CBI) which charters in/out dry bulk vessels, enters into contracts of affreightment, forward freight agreements and may also utilize hedging solutions.

Gregory Zikos, chief executive officer of Costamare Bulkers Holdings Limited, commented: “We are progressing on our strategy to divest older and smaller tonnage and replacing it with younger and bigger-sized vessels. During the quarter we concluded the disposals of five handysize ships and one supramax vessel and we accepted delivery of one capesize.”

Zikos added: “As previously announced, in September we entered into a Strategic Cooperation Agreement with Cargill whereby, among other things, we agreed to gradually transfer to Cargill the majority of our trading book. We have effectively transferred our entire forward cargo book and FFA positions, as well as the majority of the chartered-in vessels. We intend to maintain our operating platform as an integral part of our business mainly focusing on kamsarmaxes with the goal to optimize earnings and tightly manage downside exposure.”