Performance Shipping swoops for Latsco’s LR2

Nasdaq-listed Performance Shipping is expanding its fleet with the acquisition of the 2013-built LR2 aframax oil product tanker. The Greek owner has snapped up the 105,408 dwt Fos Hamilton from compatriot Latsco Shipping, paying $43.75m. Latsco bought the same vessel for $29.5m from Turkish owner Marinsa Shipping in 2018.

The Hyundai Heavy Industries-built ship, VesselsValue estimated as worth close to $48.7m, should deliver in mid-December and be renamed P. Long Beach. Performance said it would finance the deal with cash proceeds, earlier said to be around $25m, from the sale of its oldest vessel, the 2007-built P Fos, and a new senior secured loan that it expects to lock in before the vessel’s delivery.

Chief executive Andreas Michalopoulos said the acquisition of the company’s second LR2 aframax tanker, featuring an eco-electronic engine and a BWTS, marked a further step towards establishing a solid position in the refined petroleum product tanker sector, believed to have “strong, sustainable fundamentals and prospects”.

Performance Shipping, formerly Diana Containerships, owns a fleet of eight aframax tankers on a fully-delivered basis with an average age of 11.6 years. The company has five ships fixed on rates ranging from $23,000 per day to $45,000 per day, corresponding to fixed revenues of around $85m.

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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