Marine Link
Saturday, October 1, 2016

NORDEN Sells its Last Capesize Ship

January 18, 2016

Nord-Energy (Photo: NORDEN)

Nord-Energy (Photo: NORDEN)

In line with its dry cargo strategy to focus on Panamax and Supramax vessels, Danish ship owner NORDEN has entered into an agreement to sell its last remaining Capesize vessel Nord-Energy (180,310 dwt. built in 2004). At the same time, the company has agreed to buy a Supramax vessel (58,000 dwt. built in 2010). Both deliveries will take place in the course of the first quarter of 2016.

 
Following the sale, NORDEN no longer owns Capesize vessels and currently only operates one chartered vessel of this type.
 
The sale of Nord-Energy will entail an accounting loss of $14.8 million, which will be included in the annual results for 2015. The loss is especially driven by the development in fleet values seen in the fourth quarter of 2015.
 
The market values of vessels dropped significantly during the quarter, and the company has consequently started on a routine impairment test for the purpose of assessing the need for a write-down of the carrying amount of the fleet.
 
NORDEN’s expectations for the EBIT result before profits from vessel sales for 2015 are maintained. As a result of the sale of Nord-Energy, expectations to the 2015 EBIT results including profits from vessel sales are adjusted to $43-63 million compared to the previous $58-78 million.


Maritime Reporter Magazine Cover Sep 2016 - Maritime & Ship Security

Maritime Reporter and Engineering News’ first edition was published in New York City in 1883 and became our flagship publication in 1939. It is the world’s largest audited circulation magazine serving the global maritime industry, delivering more insightful editorial and news to more industry decision makers than any other source.

Subscribe
Maritime Reporter E-News subscription

Maritime Reporter E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

Subscribe for Maritime Reporter E-News