Nasdaq-listed Greek boxship owner Euroseas has agreed to acquire the 4,250 teu Seaspan Manila and Seaspan Melbourne for $37m. Both ships will be initially financed with the company’s funds and come with charter agreements attached.
The 2007-built panamax Seaspan Manila is expected to deliver in July 2022 and has a charter contract with Israeli carrier ZIM until February 2025 at $20,250 per day until April 2024. The remaining period will be based on the ConTex index, with a floor of $13,000 per day and a ceiling of $21,000 per day.
The 2005-built Seaspan Melbourne should join Euroseas’ fleet in June 2022 and has a charter contract until March 2025 at a rate of $19,000 per day.
“These charters are expected to contribute in excess of about $20m of EBITDA, bringing the cost basis of the vessels to scrap price levels by the end of the charters while providing a significant contribution to our profitability. Furthermore, depending on the market after the end of the charters in early 2025, we may enjoy significant additional upside if the containership markets are even just at historically average levels,” said Aristides Pittas, chairman and CEO of Euroseas.
Following the delivery, Euroseas will have a fleet of 18 ships, comprising 10 feeder and eight intermediate containerships. The company also has seven feeder boxships on order, expected to be completed between the first quarter of 2023 and the second quarter of 2024.