Dry CargoEurope

Norden cashes in on rising bulker values

Danish owner and operator Norden has capitalised on rising bulk carrier values, selling a number of assets in recent months. Since the start of the year, bulk carrier prices have increased by around 80%, which by the end of Q2 had resulted in a rise of more than $350m in the market value of Norden’s portfolio of owned and leased vessels.

Having shifted exposure away from the tanker segment to dry cargo with the sale of six tankers and purchase of 13 bulkers in the last 18 months, Norden has converted the added market value to profit through the sale of seven bulk carriers. Norden has not disclosed how much these asset plays brought in, except that they included both panamax and supramax vessels.

“The dry cargo market has been soaring this year due to a combination of a restart of demand after Covid-19 and major inefficiencies in ports around the world; coupled with one of the lowest order books on record,” said Henrik Lykkegaard Madsen, head of asset management. “We saw an opportunity to capitalise on these market developments.”

Norden said it expects to see continued positive development in the bulkers market with significant upside to further asset price gains through 16 owned bulk carriers and 50 purchase options in its leased bulkers fleet.

Adis Ajdin

Adis is an experienced news reporter with a background in finance, media and education. He has written across the spectrum of offshore energy and ocean industries for many years and is a member of International Federation of Journalists. Previously he had written for Navingo media group titles including Offshore Energy, Subsea World News and Marine Energy.
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