• 2018 May 15 10:11

    Pacific Basin purchases four modern ships 50% funded by new shares issued to ship sellers

    Pacific Basin Shipping Limited (“Pacific Basin” or the “Company”, 2343.HK), one of the world’s leading dry bulk shipping companies, today announced its conditional agreement to acquire four dry bulk vessels for a total consideration of US$88.5 million to be 50% funded by equity.
    The consideration will take the form of:
    1) 170,760,137 new Pacific Basin shares (the “new shares”) to be issued to the ships’ sellers amounting
    to US$44.29 million in aggregate; and
    2) US$44.21 million to be funded from the Group’s cash.
    The acquisition of the ships and the share issue are all conditional upon the Hong Kong Stock Exchange’s approval of the listing of the new shares, which we expect to be granted within several days.
    The acquisitions relate to:

    The new shares are to be issued under the Company’s General Mandate, and will in aggregate represent approximately 3.68% of Pacific Basin’s enlarged issued share capital after the allotment and issue of all these new shares.
    The issue price of HK$2.036 per new share issued to the ships’ sellers is equal to the average closing price for the last five trading days immediately prior to the date of the ship acquisition contracts. Unrelated to these transactions, Pacific Basin also acquired a 2009 Japanese-built 32,000 dwt Handysize log/bulk carrier at the end of April in an all-cash deal with expected delivery in June 2018. Following the delivery of this ship and the four vessels in the above-mentioned transactions, our owned fleet will grow to 111 ships.

    Mr. Mats Berglund, CEO of Pacific Basin commented: “Consistent with our previously stated goal of looking at good quality secondhand ships at still historically low prices, these ship purchases represent another attractive opportunity to grow and renew our fleet with modern, efficient vessels built by large, reputable shipbuilders Imabari and Tsuneishi. The Handysize ships are logs-fitted, and all the ships are of the best design for our trades and will enhance our fleet for the long term. They will also increase further the proportion of our owned versus chartered-in vessels at what we consider an attractive time.
    The 2015-built Handysize ship we are buying is currently under our long-term time charter, so our purchase of this vessel would replace our charter cost with significantly lower operating costs and thus benefit our operating cash flow."

    "The share issue enables immediate 50% equity-based funding of the acquisitions of the four ships and will enhance our operating cash flow, EBITDA and balance sheet strength. The transactions will also lower our P&L breakeven levels and are expected to be accretive to our earnings per share. We appreciate our relationships with the sellers and their belief in the longer term prospects for Pacific Basin and its shareholder value. We are delighted to have secured these excellent ships,” Mr. Mats Berglund said.

    About Pacific Basin
    Pacific Basin Shipping Limited is one of the world’s leading owners and operators of modern Handysize and Supramax dry bulk vessels. As at 14 May 2018, the Company operates around 230 dry bulk ships of which 106 are owned and the rest chartered. Pacific Basin is listed and headquartered in Hong Kong, and provides a quality service to over 500 customers, with approximately 3,400 seafarers and 330 shore-based staff in 12 offices in key locations around the world.

    Ship type

    DWT

    Year of Build

    Expected delivery

    Consideration

    one secondhand Supramax

    58,000

    2010

    Q1 2019

    US$15.5 million

    one resale newbuilding Supramax

    64,000

    2018

    mid-2018

    US$28.0 million

    one secondhand Handysize

    37,000

    2015

    Q4 2018

    US$20.5 million

    one resale newbuilding Handysize

    37,000

    2018

    Q4 2018

    US$24.5 million




2019 January 16

18:36 Kongsberg Gruppen enters into an agreement with Rome AS to divest Kongsberg Evotec
18:06 Seaspan Corporation announces the closing of the second tranche of the $1 billion aggregate investment commitment by Fairfax
17:55 INEOS, Europe’s largest petrochemicals company, announces Antwerp as the location for its new ground breaking 3 billion Euro petrochemical investment
17:50 Throughput of Rostov-on-Don port in 2018 grew by 11.5% Y-o-Y to 24.1 million tonnes
17:36 Rolf A. Sandvik resigns as CEO of The Fjords
17:06 Digging begins in construction of new Antarctic wharf
16:52 Throughput of Russian seaports in 2018 grew by 3.8% Y-o-Y to 816.5 million tonnes (detalization)
16:31 IMO’s polar communication and navigation equipment guidance to be finalized
16:14 COSCO Shipping Lines launches Ocean Alliance 2019 service products
16:10 Ice restrictions at Passenger Port of Saint-Petersburg come into effect on January 25
16:05 Realogis publishes market report on the letting of logistics properties and industrial sites in the greater Hamburg area for 2018
15:46 Ice restrictions at Big Port of St. Petersburg come into effect on January 25
15:33 Verifavia Shipping cements leadership position for EU MRV and IMO DCS IT system certification
15:22 Throughput of Makhachkala Commercial Sea Port almost doubled in 2018 to 2.5 million tonnes
14:57 Houston, Texas will host the 3rd LNG USA Summit on 26-27 February 2019
14:31 Milan, Italy will host the 2nd Small-Scale LNG Summit on 12 February 2019
13:54 CHARLES ANDRÉ Group and Dunkerque-Port join forces to develop combined transport service from Dunkerque
13:25 Société Générale and MPA Singapore join SEA\LNG Board
12:58 Vladivostok Sea Fishing Port handled 4.54 million of cargo in 2018, up 14% Y-o-Y
12:33 VEB team got acquainted with Zvezda SBC production
12:09 ABS Advanced Solutions and Fleet Management Limited partner on cyber security
11:56 Engineers from Far Eastern Federal University provide scientific support of dry dock construction at Zvezda shipyard
11:30 Bunker prices at the Port of Saint-Petersburg, Russia show no significant changes (graph)
11:09 Port of Oakland cargo volume hit all-time high in 2018
10:52 3 icebreaker escort operations performed in eastern part of Gulf of Finland during 24 hours on January 15-16
10:35 ​IMO Secretary-General highlightes the need to consider seafarer training and standards
10:09 Fincantieri to build a new ship for Regent Seven Seas Cruises
09:57 Brent Crude futures price down 0.02% to $60.57, Light Sweet Crude – down 0.03% to $51.97
09:41 CMA CGM OCEANIA LINES - PAD service to resume weekly rotations
09:16 Baltic Dry Index is down to 1,096 points

2019 January 15

18:18 WMU investigated how the global transport industry will change as a result of automation and advanced technologies
17:52 ASCO Training Center achieved all targets set for 2018
17:27 Sovcomflot provides technical management for Marshal Vasilevskiy floating storage and regasification unit
17:00 Throughput of port Shanghai (China) climbed by 0.07% to 561.29 million tonnes in 2018
15:59 Bunker prices continue going down at the Far East ports of Russia (graph)
15:04 Equinor uses technical expertise from LR to lead a safety study assessment for significant offshore project in Brazil
14:44 Container throughput of port Hong Kong (China) down 5.4% to 19.64 million TEUs in 2018
14:21 ONE achieves container loading records in two consecutive weeks by “MOL TRUST” and “MOL TRADITION”
14:00 Port of Klaipeda (Lithuania) handled 46.58 million tonnes of cargo in 2018, up 7.3% Y-o-Y
13:36 Turnover of DeloPorts’ terminals in 2018 increased by 13% Y-o-Y to 8.7 mln tonnes
13:12 Havyard merges its navigation, automation and power systems services into one brand
12:53 Order portfolio of Zvezda Shipbuilding Complex grew by 42% in IIH’2018
12:30 ABS grants AIP for Neptun’s wind turbine transport vessel
12:01 ZIM’s blockchain based B/L’s initiative: the next phase
11:43 9 icebreaker escort operations performed in eastern part of Gulf of Finland during 24 hours on January 14-15
11:29 Jan De Nul enters into concession agreement with the Government of Bangladesh for the dredging of Payra Port
11:20 CDP, Fincantieri and Snam team up to innovate port facilities in Italy and develop sustainable technologies for maritime transport
10:37 Black Sea Fleet trains for new exercises of Depth 2019 contest
10:04 Brent Crude futures price up 1.19% to $59.7, Light Sweet Crude – up 1.27% to $51.13
09:42 Icebreakers of FSUE Rosmorport assisted 2,026 ships in navigation season 2018-2019
09:19 Baltic Dry Index is down to 1,147 points

2019 January 14

18:00 EU, China and the U.S. needs to support counter-piracy operations in the Gulf of Guinea – BIMCO
17:38 Port of Singapore throughput in 2018 grew by 0.4% Y-o-Y to 630.03 million tonnes
17:06 The new Kvarken ferry will be built in Raumo
16:30 Hapag-Lloyd announces Marine Fuel Recovery Surcharges for North Europe
16:00 Full ban on open-loop scrubbers not yet imposed in China
15:36 China adopted new regulations concerning reporting of fuel consumption
15:12 ABP strengthens business with new steel contract at the Port of Immingham
14:47 ABP: £250m to keep Britain trading through Brexit
14:20 PIL adds Itajai call to Sino South America Service (SSA)