Genco Adds Three Ships, Sheds Older Tonnage

Dry bulk specialists Genco Shipping & Trading Limited has taken delivery of two Capesize vessels and one Ultramax, agreed in the second and third quarters of 2018.

The 2016-built Capesizes Genco Defender and the Genco Liberty, featuring 180,000 dwt, as well as the 2016-built Genco Columbia, with 60,000 dwt, joined the company’s fleet in September 2018.

Genco signed agreements for the tow Capesize vessels in July 2018, while the Genco Columbia is the last of four vessels that Genco agreed to acquire in June 2018.

To fund the purchase of these units, Genco utilized cash on hand and drew down an additional USD 56.25 million under its new USD 108 million credit facility, utilizing its full availability.

Furthermore, the company informed that it expects to deliver the Genco Progress, a 1999-built Handysize vessel, to its buyers on or about September 12, 2018 and that it has entered into an agreement for the sale of the Genco Cavalier, a 2007-built 53,617 dwt Supramax vessel, as part of its fleet renewal program. The aggregate sale price for the vessel, set to join its new owners in the fourth quarter of 2018, is USD 10 million.

Genco’s fleet reshuffle, which includes these acquisitions and the recent or expected sale of four older vessels, is to reduce the average age of the company’s fleet by one year to 9.3 years and increase overall carrying capacity to 5.3 million dwt.

“The earnings environment for the Capesize and Ultramax sectors remains favorable, and we are pleased to have increased the size of our fleet and improved its overall age profile and earnings capacity during the seasonally stronger second half of the year,” John C. Wobensmith, Chief Executive Officer, said.