Evangelos Marinakis has disclosed plans to propose that diversified, New York-listed shipowner Capital Product Partners puts its focus on the LNG carrier sector.
The Greek shipping tycoon, along with his son Miltiadis and private Capital Maritime & Trading, disclosed the plan Friday in a filing with the US Securities & Exchange Commission.
They said they plan to “explore the possibility of proposing to the Issuer that it consider changing its business focus to concentrate” on the LNG carrier market.
While the effort remains exploratory and no decision has been made, the Capital Product shareholders said the shift in focus could involve acquiring LNG carriers from Marinakis’ private stable and looking for debt or equity financing for such purchases.
The options also include changing the “corporate form” of Capital Product, which is a master limited partnership.
New York-listed Capital Product currently owns a fleet of 23 ships, only seven of which are LNG carriers. It also owns 15 container ships, and it has struck a deal to sell its only capesize bulker.
Marinakis and Capital Maritime hold a 25.9% stake, and Miltiadis holds the powerful general partner stake.
Clarksons data shows private affiliate Capital Gas has nine LNG carriers on order, as well as two 2002-built vessels on the water that are somewhat older than Capital Product’s current fleet profile.
The Marinakis family has already added new LNG market experience to the Capital Product board of directors by appointing former Inpex executive and LNG specialist Atsunori Kozuki to one of the seats held by general partner Capital GP.
In the latest filing, lodged as an amendment to a Schedule 13D shareholder statement, the Marinakis camp was also clear about what options are not contemplated for the refocus on LNG.
Ruled-out options include acquisitions of Capital Product shares other than Marinakis’ purchases that have seen him build his stake in the company.
Also not on the table are the sale of Capital Product assets or subsidiaries or changes in the company’s capitalisation or dividend policy.
