Monaco-based dry bulk owner GoodBulk has sealed a deal with alternative investment fund manager CarVal Investors for the acquisition of up to 13 capesizes.
The transaction, which is expected to see the vessels delivered through this quarter and next, will see funds managed by CarVal Investors become GoodBulk’s largest shareholder. The funds will receive up to 10.5 million common shares in GoodBulk for an initial seven vessels, with $61m of existing borrowings to be refinanced under GoodBulk credit facilities.
John Michael Radziwil, chairman and CEO of Goodbulk, commented: “We are excited to partner with CarVal Investors in this transaction as we continue to execute upon the company’s strategy of building an industry leading platform for investment in dry bulk vessels.
“Not only does this transaction provide GoodBulk’s shareholders with increased capesize exposure at what we believe to be an opportune time in a recovering market, it is expected to be immediately accretive to Net Asset Value per share while reducing the company’s normalized break even cost by ship ownership day and reducing the average fleet age by approximately 1.4 years. Furthermore, with a significant share component priced at a premium to NAV this transaction underscores the value of the GoodBulk platform.”
GoodBulk was formed in December 2016, and on completion of initial deal will have a fleet of 19 bulkers, 16 of them capesizes.
GoodBulk has the option to acquire up to an additional 6 capesize vessels from CarVal.