Pangaea Logistics Solutions has sold one of its existing vessels, the 2012-built Bulk Beothuk, to a third party for $7m and bareboat chartered the vessel back for continued operation in the Pangea fleet. The company said that proceeds of the deal have been used to retire existing bank mortgage indebtedness on the vessel and to acquire a secondhand vessel.
The new addition is a 2005-built supramax, which Pangea has named Bulk Freedom, acquired for $8.7m and delivered in Japan on June 20.
Pangaea has also completed a private placement of its common shares raising $15m.
Ed Coll, CEO of Pangea, commented: “We are pleased to have successfully returned to the capital markets for the first time since our merger in 2014. Today’s transaction illustrates our ability to attract new investment partners who understand and appreciate our business model and to raise capital for growth during a favorable phase of the market cycle. With our strengthened balance sheet now fortified, we will continue expanding our profitable businesses and adding to our owned and chartered fleets.”
Panngea has added six vessels to its fleet over the last 18 months.