Giuseppe Bottiglieri Shipping has finally exited the tanker sector by selling the four product carriers in its fleet, according to brokers.
The Naples-based owner has reportedly agreed to sell the 40,166-dwt Manuela Bottiglieri, Alessandra Bottiglieri, Ghetty Bottiglieri and Mariella Bottiglieri (all built 2002) for $28m to Chinese interests.
The price tag is roughly in line with market levels, with Maritime Strategies International estimating the total value of those ships ranges between $25m and $31.4m
All of the vessels were constructed by Hyundai Mipo Dockyard. The buyer’s identity is not immediately known.
Founded in 1850, the family business will still have one capesize and 10 post-panamax bulkers after the sale.
Giuseppe Bottiglieri Shipping unveiled its plan to sell the four ships in early 2017 after filing for court protection in Italy.
While the filing came after a dismal year for bulker earnings, the company at that time stressed that it sought for protection due to new accounting rules despite having positive Ebitda and a viable cash flow.
The company said that "certain unfavourable circumstances", including fleet depreciation and negative currency effects, drove it to seek court protection despite what the outfit described as its "efficient company performance”.
EY acted as industrial and financial advisor in the restructuring process and DLA Piper as legal advisor.
Later, the company teamed up with private equity Bain Capital Credit and began debt restructuring. Its creditors gave the nod to the plan after being offered $120m cash as immediate repayments.
The latest tanker sale is believed to be part of the restructuring plan, but Giuseppe Bottiglieri Shipping was apparently taking it slow.
In the past, company officials have admitted the company tends to hold on to their vessels because the company treats them as part of the family. Its vessels are often named after family members.
Rising asset prices
The sale has come as the secondhand prices of product tankers are picking up, with earnings prospects supported by slowing newbuilding deliveries and IMO 2020.
According to Clarksons, the price of a 15-year-old MR tanker has increased by one-third since March 2019.
When contacted, Giuseppe Bottiglieri Shipping managing director Mariella Bottiglieri, the six-generation shipowner, declined to comment.
