Star Bulk Acquires Two Capesize Vessels

Press Release
Friday, May 13, 2011

Star Bulk Carriers Corp. (Nasdaq: SBLK),a global shipping company focusing on the transportation of dry bulk cargoes, today announced that it has entered into definitive agreements to acquire two Capesize bulk carriersfor an aggregate purchase price of approximately $51.5 million.

The first Capesize vessel has a carrying capacity of approximately 168,000 dwt and was built in South Korea in 1996. This vessel has a time charter agreement with a major mining company until November 2015 at the earliest, at a gross daily rate of $25,000. The vessel is expected to generate $38-44 million in gross revenue and is currently expected to be delivered to Star Bulk within July 2011.

The second Capesize vessel has a carrying capacity of approximately 170,000 dwt and was built in Japan in 1994. This vessel has a time charter agreement with a major mining company until August 2014 at the earliest, at a gross daily rate of $24,500. The vessel is expected to generate $26-31 million in gross revenue and is currently expected to be delivered to Star Bulk within July 2011.

The vessels are being acquired from companies, in which family members of our Chairman, Mr Petros Pappas, hold minority stakes. The new vessel acquisitions will be financed through a combination of company cash and bank debt.

Spyros Capralos, President and CEO of Star Bulk commented: "We are pleased to acquire these two vessels that will increase significantly our fleet's carrying and earnings capacity. We believe that the time charter agreements that the two vessels have attached to them will substantially enhance our revenue visibility and improve our financial results going forward, since they are expected to contribute a minimum of $64 million to a maximum of $75 million in gross revenue. We will continue to be on the lookout for opportunities to structure accretive transactions that increase shareholder value."

 

Source: http://www.starbulk.com

Maritime Reporter January 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Vessels

Imabari to Build 20,000TEU Containerships

Imabari Shipbuilding Co., Ltd. announced it has secured newbuild orders with the cooperation of Marubeni Corporation for 11 units of 20,000TEU Ultra-Large Container Carriers,

NASSCO to Christen Third MLP, Lewis B. Puller

Shipbuilder General Dynamics National Steel & Shipbuilding Co. – NASSCO – will christen the USNS Lewis B. Puller (MLP 3 AFSB) Saturday, February 7, 2015 in San Diego.

New Survey Vessel Ordered for the Port of London

The Port of London Authority (PLA) has ordered a new purpose-built survey catamaran, a CTruk MPC19, due to enter service on the river Thames later this year.   The

 
 
Maritime Careers / Shipboard Positions Naval Architecture Offshore Oil Pod Propulsion Port Authority Salvage Ship Electronics Ship Repair Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.0979 sec (10 req/sec)