Chinese state-run shipping major Shandong Shipping has announced plans to set up a joint venture with ICIL Maritime Leasing, a Hong Kong-based unit of ICBC Leasing.
Shandong Shipping and ICIL Maritime Leasing will own a 30% and 70% stake respectively in the joint venture, which is expected to be registered in the Marshall Islands.
The joint venture will finance the construction of four 82,000 dwt kamsarmax bulk carriers, which will be fixed to agricultural commodities trader Bunge under long term charter agreements.
Separately, Shandong Shipping plans to issue overseas bonds to raise up to $250m. The proceeds will be used to repay domestic and overseas debts.
Shandong Shipping currently owns a bulker fleet of 14 vessels, and has another 10 capesize bulkers on order at Waigaoqiao Shipbuilding.