Maritime Emissions Reduction Center Launched in Athens
The Lloyd’s Register (LR) Maritime Decarbonization Hub is collaborating with five leading shipowners as founding members in the establishment of a not-for-profit Athens-based global Maritime Emissions Reduction Center (M-ERC) that will focus on optimizing the efficiency of the existing fleet.The M-ERC is being created with the goal of removing technical, investment and community barriers for the uptake of solutions to reduce the greenhouse gas (GHG) emissions of the existing global fleet…
Houthis Target Cargo Ship Bound for Iran
Yemen's Iran-aligned Houthis have targeted a cargo ship in the Red Sea which shipping analysts said on Monday had been carrying corn to Iran.It appeared to be the first time the Houthis have targeted an Iran-bound vessel since starting attacks on international shipping in solidarity with Palestinians over the Israel-Hamas war in Gaza, shipping sources said.A U.S. defence official said it was likely that the ship had been targeted but not hit, but provided no further comment. Earlier…
Star Bulk and Eagle Bulk Agree to $2.1 Billion Merger
Dry bulk shipping companies Star Bulk Carriers and Eagle Bulk Shipping have reached a deal to merge in a $2.1 billion all-stock deal.The terms of the definitive agreement have received unanimous approval from the boards of directors of both New York-listed ocean carriers, and the companes expect the deal to close in the first half of 2024 following approvals from regulators and Eagle shareholder.Eagle shareholders will receive 2.6211 shares of Star Bulk common stock for each share of Eagle common stock owned.
Grains Export Push to Boost Dry Bulk Shipping Market
Bumper soybean harvests in Brazil and unsold grains stocks in the United States are set to boost dry bulk shipping rates as buyers including China restock after supply shocks last year, leading freight operators said.The dry bulk shipping market has been hit in recent months by slow activity, partly driven by the COVID lockdowns in China, one of the world’s biggest generators of seaborne commodities trade including grains as well as coal and iron ore.Grains supplies were also affected by the war in Ukraine for part of last year until a United Nations-backed corridor was set up…
Partners to Develop Green Corridor for Australia-Asia Iron Ore Shipping
A consortium, led by the Global Maritime Forum and consisting of BHP, Rio Tinto, Oldendorff Carriers and Star Bulk Carriers Corp., signed a letter of intent (LOI) to assess the development of an iron ore Green Corridor between Australia and East Asia.To mobilize demand for green shipping and to scale zero- or near-zero greenhouse gas emission shipping, governments and industry decision-makers are increasingly looking to enable and simplify the task of decarbonizing the maritime sector by establishing Green Corridors: specific shipping routes where the economics…
Pangaea Takes Top Spot in Dry Bulk Benchmark Study
For the second year straight, US-based Pangaea Logistics ranks highest among dry bulk owners based on Time Charter Earnings (TCE), according to a recent market benchmarking report.Notably, the Rhode Island-headquartered shipowner's 53.7% TCE performance is well above Hong Kong's Pacific Basin Shipping Ltd. (24.3%) and Thailand's Thoresen Thai Agencies (23.5%) in second and third place respectively.The Vesselindex Performance Report by Danish maritime advisors Liengaard & Roschmann measures the TCE performance of 25 individual companies in relation to the earning potential of their respective fleets, making sure that no company is neither penalized nor getting an advantage from inferior/superior fleet compositions.
Star Bulk Sells Two Supramax Vessels
Star Bulk Carriers Corp., a global shipping company focusing on the transportation of dry bulk cargoes, announced that it has agreed to sell the Star Cosmo, a 2005 built Supramax vessel and the Star Epsilon, a 2001 built Supramax vessel."We expect to deliver both vessels to their new owners by the end of this month (November)," the Greece-based shipping company said in a statement.The proceeds from these sales, after prepayment of the debt related to the two vessels, are expected to be approximately $6.0 million and we expect to incur a non-cash loss of approximately $4.5 million in the fourth quarter of 2019.Meanwhile, Star Bulk completed the installation of 44 scrubber systems…
WFW Advises Star Bulk on Vessels Acquisition
Watson Farley & Williams (WFW), an international law firm based in London, has advised NASDAQ listed Star Bulk Carriers Corp on the acquisition of 11 dry bulk vessels from Delphin Shipping LLC in a shares and cash transaction.Under the terms of the acquisition, the vessels that were built by Jiangsu Hantong between 2012 and 2014 will be acquired for an aggregate purchase price of US$139.5m, payable in the form of US$80m in cash and 4.503 million common shares of Star Bulk.If concluded, the transaction would increase Star Bulk’s fleet to 120 vessels, a release said."This is the third such deal that WFW have assisted Star Bulk with in the last 18 months, previously advising them in 2018 on the acquisition of multiple vessels from both Augustea and E.R.
Star Bulk Acquires 11 Dry Bulkers
Greece-based global ship manager of seaborne transportation Star Bulk Carriers Corporation has entered into an en bloc definitive agreement with entities controlled by Delphin Shipping to acquire eleven operating dry bulk vessels.The company focusing on the transportation of dry bulk cargoes said in a press release that the acquisition of bulkers from Delphin, an entity affiliated with Kelso & Company, is for an aggregate purchase price of $139.5 million, payable in the form of a) $80.0 million in cash and b) 4.503 million common shares of Star Bulk.Star Bulk Carriers has secured exhaust gas cleaning systems (“EGCS” or “Scrubbers”) for all of the Vessels with attractive delivery dates.
Star Bulk Carriers Reports Q1 Loss
Greek shipping company Star Bulk Carriers Corp reported a net loss of $5.3 million, or $0.06 loss per share for the first quarter ended March 31, 2019.Net income for the first quarter of 2018 was $9.9 million, said the global shipping company providing worldwide seaborne transportation solutions in the dry bulk sector."By the end of May 2019 we are on track to have 40 vessels scrubber fitted. We expect to have a fully scrubber fitted fleet by January 2020. Because we expect 2020 to be a more profitable year, we want to maximize the operating days in 2020 and we thus bring forward to 2019 all our drydocks that would otherwise be due in 2020…
Swedish Bank to Finance Star Bulk
Swedish financial group Skandinaviska Enskilda Banken AB (SEB) is providing US$71.42m term facility to Star Bulk Carriers for the refinancing of two Newcastlemax-size bulk carriers. Watson Farley & Williams (WFW) is the advisor for the deal.The London based international law firm said that the deal also involved partly financing the prospective capital expense for the retrofitting of the ships with scrubbers, ahead of the entry into force of the 2020 IMO regulations.The two ships were part of a portfolio of 16 vessels acquired from Augustea Atlantica SpA and York Capital Management in an all-share transaction concluded in May 2018, on…
Star Bulk, ER Capital Shelve Vessel Deal
Star Bulk Carriers Corp and entities affiliated with E.R. Capital Holding GmbH & Cie. KG mutually waived their respective Call and Put Options relating to the four optional operating dry bulk vessels.On August 29, 2018, Star Bulk, the global shipping company focusing on the transportation of dry bulk cargoes, entered into an en bloc definitive agreement with entities affiliated with E.R. Capital to acquire three firm operating dry bulk vessels within 2018 and four optional operating dry bulk vessels.Now the companies informed that they have walked away from a potential deal involving four capesize bullkers.Pursuant to the above developments…
Will Shipping IPOs Comeback in 2019?
The market for Initial public offerings (IPOs) across the global shipping industry has remained understandably muted in recent years but secondary offerings continue to be an important funding mechanism, according to a recent report from Drewry Maritime Financial Research.Despite low interest in shipping IPOs in the US over the last few years, listed shipping companies continue to raise money through secondary/additional offerings and bond offerings in the US market with Oslo emerging as the preferred platform for shipping companies to raise equity.Investor appetite for shipping sector IPOs has remained weak as earnings have remained negative or sub-par at best…
Star Bulk Adds Two More Vessels to its Fleet
Greece-based Star Bulk Carriers Corp. took delivery of the last two of the three firm dry bulk vessels from an entity affiliated with E.R. Capital Holding GmbH & Cie. KG.According to the global shipping company focusing on the transportation of dry bulk cargoes announced it added the 2010 built Capesize vessels M/V E.R BRANDENBURG and M/V E.R BOURGOGNE, to its fleet on on January 7th, 2019 and January 14th, 2019 respectively, The Vessels were acquired for a combination of cash and shares. The vast majority of the cash portion of the transaction will be funded from senior secured financing which will be drawn within this week.Following…
Biggest Spenders of 2018
With less than a week until Christmas and most of our presents bought, we're feeling the pinch. However, that's nothing compared to the amount that some have been spending this year. VesselsValue's Senior Analyst Court Smith gives a rundown on which countries have splashed the most cash on second hand vessel purchases over 2018.USAJP Morgan Global Maritime is the US company who has spent the most on second hand vessels: 308 million USD so far in 2018. However, they have changed their purchasing strategy half way through the year.
Star Bulk Carriers Reports Profit for Fourth Consecutive Quarter
The global shipping company focusing on the transportation of dry bulk cargoes Star Bulk Carriers Corp announced the third quarter ended September 30, 2018 marks the fourth consecutive profitable one.The Marousi, Greece-based company said that the total revenues for the third quarter of 2018 increased to $188.5 million from $80.8 million in the third quarter of 2017.Petros Pappas, Chief Executive Officer of Star Bulk said: "we achieved $128.7 million in TCE Revenues, $80.1 million in Adjusted EBITDA and Net Income of $26.1 million. Our average TCE for the quarter continued to increase quarter on quarter to $14,521/day per vessel. As of today…
WFW Advises DNB on USD310m Loan to Star Bulk Carriers
International law firm Watson Farley & Williams (WFW) advised Norway’s DNB Bank ASA (DNB), as facility agent and security agent for a syndicate of banks comprising itself, ABN AMRO Bank N.V., BNP Paribas, Danish Ship Finance and Skandinaviska Enskilda Banken AB, in relation to a US$310m loan facility provided to Star Bulk Carriers Corp.Secured on 26 vessels in Star Bulk’s fleet, the facility consists of two tranches: (a) a first tranche of US$240m used to refinance Star Bulk’s debt under five existing facility agreements; and (b) a second tranche of US$70m used to finance the prospective capital expense for the retrofitting of vessels…
Star Bulk Carriers Announces Financing Update
Star Bulk Carriers announced that it has repaid to its lenders all outstanding deferred debt amounts originating from the September 2016 restructuring of its finance agreements.The global shipping company focused on the transportation of dry bulk cargoes said that it currently has no restrictions on vessel acquisitions or new debt and is free to make dividend payments to its shareholders from January 1, 2019 onwards.The seaborne transportation provider also announced today that it has refinanced existing loans of approximately $617 million with new debt financing totaling over $625 million (New Debt).The New Debt will finance 59 vessels of all types…
Star Bulk Carriers Adds MV Star Bright to its Fleet
Athens, Greece-based Star Bulk Carriers Corp took delivery of the first of the three firm dry bulk vessels, the ER Brighton, renamed to Star Bright, from an entity affiliated with E.R. Capital Holding GmbH & Cie. KG.The global shipping company focusing on the transportation of dry bulk cargoes announced that, the delivery is in pursuant to the previously announced transaction of August 28, 2018. The Vessel was acquired for a combination of cash and shares. Following this delivery, the Company has 92,355,927 common shares issued and outstanding.ER Brighton is a Bulk carrier built in 2010 by Hyundai Vinashin Shipyard - Ninh Phuoc, Vietnam.Star Bulk’s vessels transport major bulks…
Star Bulk Carriers Announces $310mln Loan for Vessels, 50 Scrubbers
Star Bulk Carriers announced that it has entered into a $310 million loan agreement, which includes a $70 million tranche (Green Loan Tranche) that will exclusively finance the procurement and retrofitting of scrubbers for up to approx. 50 vessels in Star Bulk’s fleet. According to a press release from the global shipping company focusing on the transportation of dry bulk cargoes, DNB Bank, acted as the Mandated Lead Arranger, Facility Agent and Coordinator, along with ABN AMRO Bank, BNP Paribas, Danish Ship Finance and Skandinaviska Enskilda Banken as Mandated Lead Arrangers.The remaining $240 million were drawn on September 28, 2018 and refinanced in full a group of 26 vessels…
Star Bulk Carriers to Equip its Fleet with Scrubbers
Star Bulk Carriers announced that it intends to equip its entire fleet with Exhaust Gas Cleaning Systems (scrubbers) before the January 1, 2020 implementation date of the new IMO sulfur emission cap regulation.The global shipping company focusing on the transportation of dry bulk cargoes said in a press release that it expects average cost, including installation, to be below $2.0 million per vessel. Star Bulk has secured debt financing with an average margin of below 3.0% to cover up to approximately 70% of such cost and expects the remaining amount to be covered from operating cash flow and cash on hand, without raising equity for this purpose.The Company has also secured contracts with leading shipyards for the installation of such systems…
Star Bulk Carriers to Acquire Up To Seven Dry Bulk Vessels From E.R. Capital
Star to acquire three (firm) operating dry bulk vessels with 2018 and has options on four others in 2019.Star Bulk says that Step 1 vessels will be acquired for an aggregate of about 1.34 million common shares of star Bulk and $41.70 million in cash.Source text for Eikon
WFW Advises CMBFL on Sale, Leaseback of 15 Dry Bulker
Watson Farley & Williams (WFW) has advised CMB Financial Leasing (CMBFL) on a US$180.4m sale and leaseback transaction with Star Bulk Carriers Corp, a Nasdaq-listed global shipping company providing worldwide seaborne transportation of dry bulk cargoes.The funds obtained by Star Bulk under this new five-year capital lease of US$180.4m entered into with CMBFL were used to part-finance the cash portion of the consideration with regards to Star Bulk’s acquisition of 15 dry bulk vessels from Norwegian shipowner Songa Bulk ASA.Founded in 2008, Shanghai-based CMBFL provides financial leasing solutions to large, medium, and small businesses across China.