Bank of Communications Financial Leasing (BoComm Leasing) is circulating for charter four of seven supramaxes it recently purchased in two separate fleet deals.
TradeWinds has learned that the ships were not acquired as a third-party financing but as part of a “new business strategy” to buy supramaxes at low prices, operate them until a Chinese buyer emerges, then sell them with lease financing at a thin profit margin for the sake of future earnings from lease payments.
So far this year, sources informed about BoComm Leasing’s activities say it has bought 14 supramaxes and sold four, and it has two more sales to be closed in December.
Kamsarmaxes in sight
Further deals could include kamsarmaxes, but no such purchases are currently under negotiation.
All buyers have been private Chinese-owned companies that have taken more than one ship each, kicking in equity of 30% to 40%. Two ships were imported into the Chinese flag a couple of months ago, while the rest were bought for international trading by Chinese shipowners.
BoComm can always make money on the financing. A ship has to be sold at market level, so the profit from the sale cannot be higher than that
“The profit margin on the sale is not important,” said a source close to the company. “BoComm can always make money on the financing. A ship has to be sold at market level, so the profit from the sale cannot be higher than that.”
The strategy requires BoComm Leasing to become more flexible as a commercial chartering player.
Market sources said it is now seeking offers preferably for short-term period charters but also for trip time charters for the 56,800-dwt JY Guardianship (ex-Guardianship), JY Valdivia (ex-AS Vadivia, both built 2011), JY Vincentia (ex-AS Vincentia, built 2010) and JY Valentia (ex-AS Valentia, built 2009).
In the case of one ship, BoComm Leasing was not previously known to be the buyer, while the other fleet transaction has been reported, but as a financing deal rather than an acquisition for BoComm Leasing's own operations.
TradeWinds reported in October that Seanergy Maritime Holdings had sold the Guardianship along with its 56,800-dwt sistership Gladiatorship (built 2010) for about $23m to an unknown buyer.
The other three being circulated are part of the Taizhou Kouan-built Ahrenkiel Steamship fleet that BoComm Leasing bought in June in a deal then described as a sale-and-leaseback transaction.
Out of five Ahrenkiel ships in the package, BoComm Leasing is seeking charters for three — the JY Valdivia, JY Vincentia and JY Valentia.
Reference sources list only one of the seven vessels, the JY Guardianship, as delivered to the buyer, but the number of ships being circulated reflects the progressive delivery of the ships from their charters at the time of sale, and is expected to grow.
