“Just by all the calls that we get from investors and people who want to discuss the offshore industry in more general terms, there seem to be several others, like Aker-type players and similar companies or even families who are maybe involved in more traditional shipping, who are looking to get into OSVs.”
Swedbank analyst Stig Erik Kyrkjeeide says the vultures are circling distressed offshore companies.
“Even though you are going to see some consolidation among these players, you still need a lot of capacity to be taken out, particularly the older assets. There are 600 vessels that have exceeded their useful lifetime.”
Pareto Securities analyst Synnove Gjonnes reminds everyone that mergers are not much good with so much unwanted tonnage still lying around.
Offshore markets halted in ‘vapour lock’
“My answer back is, how? We can and do advise but some of these companies have 10 or 20 banks. If these banks agree, that is an important first step. But quite a few of the companies have also done several bonds and each bond has many bondholders. Having so many stakeholders is a part of the challenge, which is how to get all the creditors to agree.”
DNB Bank’s Kristin Holth reveals the problems of taking unified action on consolidation in offshore shipping. It’s like herding mice at a crossroads.
DNB sees complex knot of creditors
“When we did the restructuring in Dof, the whole model we worked for was that all our boats in the supply space, outside our Brazilian fleet, will get contracts, go to layup or work the spot market - but the earnings will cover opex and nothing more.”
Dof’s Mons Aase is in survival mode.
DOF backlog shelter helps it to weather offshore storm
“It was our aim to create a straight, clear and fair product, therefore the maintenance level must be watched closely since a lower opex could also be achieved by neglecting the condition of the vessel.”
Vogemann managing director Jens Arndt explains his guarantee to owners to set an upper limit on operating expenses, but without sacrificing quality.
Vogemann offers owners opex guarantee
“It is not the most important thing to be the biggest but to focus on locations, where we can have success.”
Fearnleys’ Kristian Sorensen is adopting the estate agent’s favourite mantra: location, location, location.
Fearnleys beefs up its dry bulk operations
“We cannot refuse to look at offers from brokers if we cannot reach the person in charge with the client.”
A Cosco Bulk official says the death of the broker may have been exaggerated.
Cosco Shipping Bulk warns shipbrokers off major clients
“Maybe they thought the liner system was suitable for every kind of shipping business. But after the bulk business was so bad for so many years, the bulk guys did not have the talking power within management.”
Another Cosco insider explains the recent power of containership execs within the Chinese company.
Dry Bulk officials had no ‘talking power’ against liner side in merger structure
“The ongoing Petrobras and Transpetro scandal has brought to the fore bribery in the shipping industry. It should act as a reminder, not only to the companies directly involved in the scandal but to all players in the industry, of the importance of robust anti-bribery controls.”
Trace’s Katya Lysova sounds a timely warning to owners.
Compliance takeaways on third parties in aftermath of the Petrobras scandal
“They don’t make them like Ron anymore.”
Just one of the tributes to TI chartering chief Ron Golding, who died this week.
Rocket Ron: ‘Totally trustworthy, totally committed’
“They are playing games with us where you think: Where is the contract? Where is the relationship? Where is the handshake and the honour? It’s all gone.”
A UK-based owners’ representative bemoans the new relationship with charterers. Another unpleasant consequence of the crisis.
German boxship owners bemoan ‘bullying’ tactics by Europe lines
