Michael Bodouroglou has joined the queue of Greek owners offloading smaller containerships to liner giants, which find it cheaper to buy the vessels rather than chartering them at current freight rates.
Market sources and brokers in Athens said CMA CGM had agreed to acquire the 1,700-teu Philippos-Michalis (built 2015) at a price in excess of $25m.
The French Liner giant has been employing the ship since early 2019 on short to medium-term fixtures fetching up to $10,750 per day, according to Clarksons.
However, with market dynamics changing firmly in owners’ favour, CMA CGM would have probably had to renew the fixture at significantly higher rates and for several years.
London-based brokers reported on 9 July a string of liners — such as CMA CGM, Mediterranean Shipping Co (MSC) and Orient Overseas Container Line (OOCL) — fixing sub-panamax and panamax boxships for between two and five years for up to $52,000 per day.
However, such freight rates have not prevented liners such as OOCL from more than doubling revenue in the second quarter to $3.5bn.
Bodouroglou firm Allseas Marine has owned the Philippos-Michalis since taking delivery of the vessel from China’s Guangzhou Wenchong Shipyard.
It is one of four handy containerships in Allseas' fleet. The other three are similar in age, with two built in 2015 and the third in 2016.
Navios Partners piles up boxship sales
US-listed Navios Maritime Partners is reported to have sold a slightly larger sub-panamax boxship — the 2,824-teu Harmony N (built 2006).
MSC spent about $29m on the vessel, according to London-based brokers.
Navios did not respond to a request for comment. According to the company’s website, the Harmony N was on a charter due to expire in July at $8,181 per day.
Such meagre rates are a thing of the past. Navios Partners announced in June long-term chartering deals for five of its panamax containerships worth an aggregate of at least $220m.
When Navios cannot achieve such juicy rates for its ships, it can always sell them. Frangou has raised about $80m from divesting six boxships in recent months, mostly through Navios Partners.
In the biggest single deal, the 4,250-teu Navios Dedication (built 2008) changed hands for $33.9m to buyers that remain undisclosed.
