In its latest set of results published overnight, Safe Bulkers has revealed that it has sold three vessels to entities controlled by its chairman and CEO Polys Hajioannou.
Stalo, a 2006-built 87,000 dwt post-panamax was sold to Hajioannou for $9m cash, while 2014-built 78,000 dwt panamax Kypros Unity was sold for $20m cash. Additionally, Hajioannou has taken up the shipbuilding contract for an 84,000 dwt Japanese newbuild post-panamax due for delivery in 2019 which has $28.4m capital expenditure outstanding.
Safe Bulkers said it will use the funds to pay an outstanding loan of $16.7m attached to the Kypros Unity. Overall, the transaction will result in a $28.4m reduction in the company’s capital expenditure obligations, a $16.6m reduction in the company’s existing indebtedness, and a $12.3m improvement in the company’s liquidity.
The company said it is also in negotiations for another company controlled by Hajioannou to assume its obligations under a shipbuilding contract for a 81,600 dwt Japanese newbuild Kamsarmax scheduled for delivery in the first half of 2018.