DryShips Agrees to Sell, Buy and Build

Greece-based industrial shipper DryShips Inc. on Monday said it plans to sell an older bulk carrier, buy a newer model and signed $66.5min contracts to build two dry bulk vessels. The company said it agreed to sell its 1995-built panamax bulk carrier for about $35 million, with delivery scheduled for the end of the year. The company will buy a larger panamax bulk carrier, built in 2000, for about $40.8 million for delivery in the fourth quarter. The newer ship has deadweight tonnage of 74,716 compared with the 71,747 deadweight tonnage for the older vessel.

In addition, DryShips arranged contracts to build two panamax dry bulk vessels at a China shipyard for roughly $33.3 million each. The ships are slated for delivery in the last quarter of 2009 and first quarter of 2010. Panamax vessels have the maximum dimensions required to pass through the locks of the Panama Canal. DryShips currently owns a fleet of 32 dry bulk carriers. Shares of DryShips fell 19 cents to $13.53 in morning trading on the Nasdaq.