Germany's Offen Group is exiting the bulker sector.
The company has sold its majority stake in shipmanager Bremer Bereederungsgesellschaft (BBG) so that it can focus on operating larger containerships, said managing owner Claus-Peter Offen.
Bremen-based BBG has been hived off as part of a management buyout led by managing director and shareholder Joachim Zeppenfeld.
It is being sold as part of a series of company disposals that do not fit the strategy of the Hamburg-based shipping company.
Conti legacy
Offen inherited a majority shareholding in BBG in March 2017, when it took over Munich-based Conti Group.
Since then, it has sold a number of assets including its tanker division in order to focus on larger containerships.
Offen controls a fleet of nearly 50 mostly larger containerships of around 6,000 teu up to 14,000 teu.
It also retains five smaller boxships of 1,800 teu.
But Offen said the company was likely to dispose of the few remaining sub-panamax containerships.
"These still didn't fit into the strategy. They are still in red figures," he said.
Offen said the company's acquisition of Conti had seen it inherit a number of non-strategic assets, including hotels in East Germany and river barges.
BBG was one such unit with a portfolio of approximately 35 bulkers, for which it handled technical management.
That has been slimmed down to about 15 bulkers from supramax through to kamsarmax and post-panamax vessels, according to the BBG website.
Focus on boxships
Offen has already exited the tanker sector
His company sold its stake in CPO Tankers in April 2019 to Zeaborn Group.
Offen expressed satisfaction at moving out of the bulk sector.
It has meant the company could "concentrate on big containerships that make black figures".
"We are very happy with our present situation. We have more than 80% of our turnover from long-term charters," he said.
The remaining 20% on the container fleet is on the spot market and mostly comprises ships of 6,000 teu to 9,000 teu.
A strong charter market for boxships in this segment was good for the Conti fleet, which has many vessels of this size, he said.
