Greek companies are offloading tankers of every type and size in a bid to either reduce their exposure to an ailing market or to make space for younger ships that will hopefully pay off when freight rates recover.
Brokers have reported a string of fresh deals that see traditional companies offloading their oldest vessels, mostly to Asian buyers, in continuation of a trend that began months ago and has seen dozens in ageing vessels changing hands.
Despite sagging freight rate markets, interest for ageing tankers has not suffered. To the contrary, it is intensifying and driving secondhand values higher, the recent deals show.
Angelopoulos family-controlled Arcadia Shipmanagement is said to be selling its oldest vessel, the 106,000-dwt crude tanker Maratha (built 2003), for about $13.5m.
That would be far above the price the company fetched three months ago when it sold the sistership Aegean Freedom. That ship changed hands for between $10.8m and $12.5m, according to a wide range of prices in broker reports at the time.
Arcadia managers did not respond to a request for comment. But sale-and-purchase deals like that for the Maratha do not surprise analysts.
“Despite the general uninspiring trajectory in freight earnings, the S&P market is… moving on different track, especially when given the upward pressure in asset price levels as of late,” Athens-based Allied Shipbrokers said in their latest note to clients.
- Arcadia Shipmanagement is said to be selling the 106,000-dwt Maratha (built 2003), for about $13.5m.
- Latsco Shipping is reportedly selling the 51,200-dwt MR2 Hellas Explorer (both built 2008).
- Enterprise Navigation has reportedly offloaded the 50,000-dwt MR Aries (built 2009) to UK-based interests for between $13.5m and $15m.
- Eurotankers is said to have offloaded the 151,700-dwt suezmax Eurofaith (built 2004) for $18m to United Arab Emirates-based buyers.
As buyers try to position themselves for a market recovery, acquisition interest is ample, spanning different size segments and age groups.
Latsis family company Latsco Shipping has been considering selling its oldest pair of tankers, the 51,200-dwt MR2 Hellas Explorer and sistership Hellas Enterprise (both built 2008), since December.
The company waited patiently for prices to rise before striking its first tanker sale on the secondhand market in six years. The Hellas Explorer is in the process of being transferred to undisclosed interests for between $13m and $13.5m, brokers reported.
Estimates by VesselsValue suggest that the ship’s secondhand value has increased by about one-tenth over the past two months. Latsco, which did not respond to a request for comment, has recently ordered four VLCC newbuildings at Hyundai Heavy Industries.
The Latsis family is not the only Greek player to sell MRs. Stamatis Molaris firm Empire Navigation has reportedly offloaded the 50,000-dwt MR Aries (built 2009) to undisclosed UK-based interests at a price of between $13.5m and $15m.
Empire Navigation late last year concluded a framework deal to sell bulkers and tankers to Gulf Navigation Holding PJSC. However, no such transaction has materialised yet.
Another Greek company that found an opportunity to offload older tonnage in this climate is Eurotankers. The Gotsis family-led company is believed to have sold the 151,700-dwt suezmax Eurofaith (built 2004) for about $18m to buyers based in the United Arab Emirates.
Eurotankers acquired about a dozen tankers on the secondhand market between 2016 and early 2019. Since markets plummeted in mid-2020, however, the company has been on the selling side.
A disposal of the Eurofaith would be the company's sixth since June. Eurotankers managers did not respond to a request for comment.
