Singapore-based bulker owner Grindrod Shipping has revealed several deals for its fleet, including sale and purchase as well as time charter transactions.
The Ed Buttery-led company recently exercised the purchase option on Meiji Shipping’s chartered-in 2016-built supramax IVS Hayakita, with the ship expected to change hands in September this year.
In July, the parent firm Taylor Maritime Investments (TMI), also led by Buttery, sold two handies to Grindrod – a 2011-built Steady Sarah for $15m and a newbuild due for delivery by March 31, 2024, for $33.75m.
Meanwhile, Grindrod offloaded another 2011-built handy, the IVS Orchard, for $10.8m and completed the previously announced sale of the 2014-built IVS Kestrel for $17.3m, with net proceeds of $10.3m. The ship was then chartered-in for 11 to 13 months and has two one-year extension options attached.
Furthermore, Grindrod exercised the option to extend charters of the 2016-built supramax IVS Windsor and the 2014-built IVS Naruo, fixing the ships for an additional 12 months, while also chartering out its 2017-built supramax IVS Swinley for a year.
TMI has also recently fixed one of its ships to a blue-chip charterer for 20 to 24 months at $12,000 per day – “a rate significantly above the current index reflecting positive forward market sentiment,” the company said.
London-listed TMI took over Grindrod last year, creating a fleet of nearly 60 bulk carriers. The combined owned fleet comprised 47 vessels at the end of the second quarter, worth around $880m, excluding chartered-in ships without purchase options, according to TMI.
“Despite current pressure on rates we continue to outperform our benchmark index thanks to our balanced chartering strategy. Asset values remain above historical averages and the building blocks of an improved earnings environment for the next two years are evident. We continue to prioritise debt reduction and delivering synergies by integrating management of the TMI and Grindrod fleets and making the most of opportunities given our enhanced scale so we’re in a strong position to capitalise on market improvements when they come,” said TMI and Grindrod chief executive Buttery.