Just as sagging freight rates were shaking shipowners’ confidence in the sustainability of dry bulk asset values, a recent spurt of buying suggests that animal spirits are stirring in the sector again.
In a telling sign for renewed confidence amid Greek players, Athens-based shipowners have scooped up the final bulker quartet in the fleet of GriegMaas, a dissolved joint venture between Norway’s Grieg Maritime and private-equity firm Maas Capital.
The move emerges after TradeWinds reported that US-listed Costamare, another Greek player, was linked to GriegMaas’ sale of the 63,500-dwt Star Damon and Star Crios (both built 2012).
According to several sources in Athens, Greece’s Goldenport Shipmanagement has spent $26.5m each on the two GriegMaas vessels — the 63,500-dwt Star Eos and 63,200-dwt Star Artemis (both built 2015).
Goldenport executives declined to comment on the information. If confirmed, this would be the first bulker purchase by the Dragnis family in more than a year.
Such moves run counter to a slowing of ship sales recently. Even companies that signalled they would stop expanding amid rising prices, have resumed buying.
Just a month after declaring that its newbuilding programme was largely over, Safe Bulkers announced on 2 December that it had placed yet another order, its ninth, with a Japanese yard.
Costamare, which bought 37 bulkers between May and July when it abruptly stopped, has been linked to six bulker purchases since 20 November.
Analysts have come out arguing that a degree of pessimism gripping the markets last month was probably overdone.
“Asset bubble NOT in the making” is how Seaborne Shipbrokers analyst Eva Tzima headlined her latest report on Monday.
“The reversal in dry bulk market sentiment caused by sharply falling capesize rates, and the consequent downward correction asset values witnessed last month, resulted in several investors losing their positivity,” Tzima said in the report for the Athens-based broker.
Gloom and doom scenarios, however, are off the mark, she argued.
“Any slowdown in asset prices this [fourth] quarter should not be perceived as the beginning of the end, but rather as the dynamic of a market that quickly adjusts to earnings and knows when to stop pushing asset prices up,” Tzima said.
Another Greek linked to a bulker buy recently is Nicholas Moundreas, who reportedly bought the 93,300-dwt Mayfair Spirit (built 2011) for $19m.
Meanwhile, on the selling side...
In the roller coaster of dry bulk sentiment, some Greeks are finding the opportunity to sell.
According to ship-management sources in Athens, Costas Dellaportas-led Meadway Shipping & Trading is about to complete a remarkable asset play with the 28,400-dwt handysize Targa (built 2009) — a ship heading to unidentified European interests for $14.1m.
This is a surprisingly strong price, considering that Signal Ocean and VesselsValue estimate the ship is worth just $13.2m. MSI Horizon puts the ship’s fair value this quarter between $11.9m and $14.3m.
Dellaportas bought the vessel as recently as May for just $8.5m from Japanese interests, which were trading the ship as Atlantic Diana.
The market is in such a flux that the same companies appear on both sides of the sale-and-purchase fence. Just about six weeks ago, Meadway Shipping spent $24m on K Lines’ 61,600-dwt Virgo Colossus (built 2012).
