New York-listed Pangaea Logistics Solution is the latest public dry bulk owner to draw significant investment from a prominent "long only" institutional investor.

Boston-based Wellington Trust, an arm of Wellington Management, has bought up 2.4m shares, good for about 5.2% of Pangaea, which is a specialist in niche-market and contract trades, a public filing shows.

The number are up from a holding of 1.78m shares disclosed in August.

The position may be yet another sign that buy-and-hold institutions are getting friendly with the longevity of the current dry bulk bull market.

Wellington follows Boston neighbour Fidelity Investments, which has taken a 10% position in Greece's Star Bulk Carriers and a 12% stake in New York-based Genco Shipping & Trading.

Dry bulk executives and equity analysts following the sector have made the case for an extended bull run given the lack of newbuilding tonnage scheduled for delivery over the next two years and continued hesitation over future propulsion systems.

Positions by long-only players like Fidelity, Wellington and Neuberger Berman were once commonplace in shipping during the last shipping boom cycle of the 2000s, but have largely faded from the landscape as shipowners failed to string together extended periods of peak earnings.

Pangaea, led by chief executive Ed Coll, is a closely held public owner based in Newport, Rhode Island.

Pangaea Logistics interim CEO Mark Filanowski is welcoming new investors, including Wellington Management, to the company's roster. Photo: Pangaea

Pangaea over 2021 has seen a gradual selldown by its largest shareholder, Cartesian Capital, which went from some 13.95m shares and 30.6% of the owner down to about 1.6m and a 3.4% stake.

Cartesian's exit has been seen as likely to create additional trading liquidity for other investors, including a Wellington, to move into the stock.

"We are always happy to welcome new shareholders that know our industry and take time to understand the business strategies that differentiate Pangaea Logistics Solutions from peers," said interim CEO Mark Filanowski, who is leading Pangaea on a temporary basis with Coll on sick leave.

Like many dry bulk owners, Pangaea has seen shares appreciate over the course of 2021 in a robust market. The stock is up about 60% from its January opening at $2.76 per share, closing Tuesday at $4.40.

Pangaea will have a total of 24 owned vessels when the final two units in the newbuilding programme are delivered later this year.

Wellington lists more than $1trn in assets under management and is led by chief executive Cynthia Hynes.