Weekly Broker: Sales slow, but interest and prices stay firm

Weekly Broker: Sales slow, but interest and prices stay firm

The last week has seen a slowdown in the secondhand bulk carrier sales in line with recent slowdown in the freight market. However, buyers’ interest and prices remain firm.

“On the dry bulk side, it seems to have been a week with focus on very modern tonnage with a considerable number of relatively modern tonnage changing hands. It seems to be that activity was limited to only panamax and supramax vessels, with the latter also showing a fairly strong increase in buying appetite. Prices continue to hold steady and it seems as though this will continue to be the case for most size segments for the near term as we started to get mixed messages from the freight market,” Allied Shipbrokers said in its latest report.

Several shipbroking houses including Intermodal, Fearnleys, Lion Shipbrokers all reported the sale of four panamax bulkers from Noble Group, Ocean Ambition (2014-built), Ocean Forte (2015-built), Ocean Vision (2015-built) and Ocean Integrity (2015-built), while Allied Shipbrokers identified the buyer as new Norwegian outfit 2020 Bulkers, which bought the four vessels en bloc for a price of $23m each vessel.

2020 Bulkers was created by Tor Olav Troim in October. The company is now seeking to raise cash to fund the fleet acquisition.

The cash from the sale could be very much needed by the financially troubled Hong Kong commodities trader Noble Group, which commenced discussions with various stakeholders this month regarding potential options to address the company’s capital structure and liquidity position.

Clarkson reported a deal in which Greek owner Antonis Pappadakis’ Kassian Maritime has snapped up the 2008-built capesize bulker Vogerunner from German owner Vogemann. The 176,800 dwt vessel has fetched a price of $19.5m.

In addition, Clarkson listed a transaction that Greek owner Fafalios Shipping paid a price of $18m for the acquisition of the 2009-built panamax Nord Venture from Japanese firm Phoenix Co. The latest acquisition will increase Fafalios Shipping’s fleet to five bulkers.

Both Lion Shipbrokers and Seasure Shipbroking reported the sale of the 2015-built supramax Alam Makmur, while only Lion Shipbrokers identified that Taiwanese owner Wisdom Marine is the buyer behind the deal. Wisdom Marine acquired the 55,865 dwt vessel from Malaysian Bulk Carriers for $21.1m.

“On the tanker side, the market took on some positive developments, with an increase being seen in terms of activity and more specifically for the larger crude oil carriers. This is a partial break from the general trend that had been noted over the past couple of months and an overall absence of sales in the suezmax segment. Prices are still a major deterrent for most sellers, while buyers have still to show any appetite for firmer levels than what we are seeing right now,” said Allied Shipbrokers.

Multiple shipbrokers including Andreas J. Zachariassen, Allied Shipbrokers, Fernleys and Intermodal all revealed that South Korean owner Dong A Tanker have sold two newbuild suezmax tankers – Dong A Capella and Dong A Spica – to two Greek owners. New Shipping has taken Dong A Capella for $48m, while George Economou’s TMS Tankers brought in Dong A Spica for the same price.

Another deal made public by shipbrokers is Greek owner Paul Coronis’ PrimeBulk taking over the 2003-built aframax tanker Singapore Voyager from Japan’s Meiji Shipping for $10.4m.

The sale and purchase activities in the secondhand containership market remains limited this week. One major deal reported by multiple shipbrokers was the sale of three Awilco Container-controlled 4,380 teu panamax containerships AS Mariana (2010-built) AS Mariella (2010-built), and AS Magnolia (2009-built). Ansheng Shipping, owned by Chinese brothers Guo Dongsheng and Guo Dongze brothers, acquired the three ships en bloc for $42m in total.

Jason Jiang

Jason worked for a number of logistics firms following his English degree, then switched this hands-on experience to writing and has since become one the most prolific writers on the diverse China logistics industry writing for a host of titles including Supply Chain Asia, Cargo Facts and Air Cargo Week. Jason’s access to the biggest shippers with business in China has proved an invaluable source of exclusives.

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