Norden has bought four capesize newbuildings in a deal valued at over $271m, bringing its owned fleet of the larger bulkers up to nine vessels.
The Danish owner-operator, which has a fleet of product tankers and bulkers of all sizes, said the acquisitions will be delivered in 2025 and in 2027.
No financial details or specification for the “state of the art” vessels were disclosed, but Norden confirmed to TradeWinds that the vessels are not resales.
“With our latest investments in not only capesizes but also in projects and parcelling and logistics, we are now able to provide our customers with a truly unique full-service approach across all dry cargo segments, with a strong focus on decarbonisation,” said CEO Jan Rindbo.
It is highly likely that the new orders are newcastlemaxes, given that the current capesize orderbook, which comprises just 108 vessels, is dominated by the larger vessels.
Clarksons estimates newbuilding prices for 210,000-dwt newcastlemaxes at $70.5m, meaning the Norden deal could be worth something in the region of $282m. It estimates $67.8m for conventionally sized, 180,000-dwt capesize newbuildings or $271m for four of them.
Norden described the investment as “a testament to the long-term opportunities we are seeing in the dry cargo markets”.
It told TradeWinds in early February that it was looking at purchasing additional capesizes.
At that time, Rindbo told TradeWinds that it made sense to be more asset-heavy within the segment.
Jesper Andersen joined Norden last September and is heading the capesize desk. He arrived from Oldendorff Carriers, where he was director of the South Pacific supramax and handysize business.
Norden’s operated fleet of capesize and newcastlemaxes stands at 12 vessels, of which five are owned and the rest chartered in.
It believes it will need to build an operated fleet of between 20 and 25 capesizes to have critical mass in the market. It is in no rush and has no set deadline for that target.
The initial focus will be the “classic” capesize business — iron ore, coal, bauxite — to offer an expanded service for clients.
The bigger vision is to leverage its capesize presence to help customers decarbonise their supply chains and reduce their Scope 3 emissions.
This article has been amended since its original publication to include Norden’s confirmation that the vessels are not resales, which affects the estimated valuation of the deal.
