Star Bulk Capesize Newbuilding Contract

Monday, March 29, 2010

Star Bulk Carriers Corp. (NASDAQ: SBLK) announced that it has signed a contract with ship builder Hanjin to build a Capesize vessel of 180,000 deadweight tons, at a price of $53.5m with expected delivery in September 2011. The company has also entered into a ten year time charter agreement for the vessel with STX Panocean at a gross daily hire of $24,750. Star Bulk has also received offers for debt financing of up to 70% of the vessel's price at favorable financing cost/terms and expects to complete the financing within the second quarter of 2010. The company has not yet decided the ratio of Company cash to senior debt that it will utilize in this acquisition.

Akis Tsirigakis, President and CEO of Star Bulk, commented: "We are pleased to grow organically with the acquisition of a newbuilding Capesize vessel from a high quality ship builder. This deal involved the challenge of putting all required elements together simultaneously, namely, quality builder, competitive price, good contracted employment, quality counterparty and competitive financing. The vessel contract was achieved at a very favorable price considering recent similar newbuildings. We are also pleased that our senior debt lenders continue to support our acquisition plans via offers of favorable financing terms. Currently, our fleet is contracted for 92% of 2010 and 58% of 2011 operating days, amongst the highest contract coverage in the industry, providing future earnings visibility. We continue to focus on enhancing shareholder value, supported by our strong balance sheet and liquidity."

Maritime Reporter July 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Shipbuilding

LNG Transport Barge Design Approved by ABS

Conrad Shipyard, L.L.C. engaged Bristol Harbor Group, Inc. (BHGI) to develop a 3,000 cubic meter Liquefied Natural Gas (LNG) transport barge utilizing a Bristol

Airbus May Sell Stake in Submarine Supplier

Airbus is considering a sale of its 49 percent stake in submarine supplier Atlas Elektronik as part of a reshuffle of its military business, German newspaper Die

Bureau Veritas to Class, Certify FPSOs for Saipem

Bureau Veritas has been awarded a contract by Saipem to provide classification and certification services for the two Kaombo FPSOs for service off Angola. The

 
 
Maritime Careers / Shipboard Positions Maritime Security Maritime Standards Naval Architecture Offshore Oil Pipelines Port Authority Salvage Ship Electronics Ship Repair
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: 0.1843 sec (5 req/sec)