ISRAELI flag carrier zim says it has agreed a charter with non-operating containership owner MPC Container Ships (MPCC) and investment managers MPC Capital for up to six newbuild 5,500-TEU wide-beamed vessels for seven-year periods, reports London's Loadstar.
Since its formation in 2017, Oslo-based MPCC has specialised in operating second-hand feeder ships, so the deal with Zim is a change of strategy for the non-operating owner, which described the deal as 'an extraordinary opportunity'.
MPCC said it had ordered two 5,500-TEU ships for delivery in early 2024, while MPC Capital announced an order in January for four ships to be delivered next year.
MPCC said it was paying US$72.2 million each for the eco-designed ships from South Korean shipyard HJ Shipbuilding & Construction and would receive an average of $39,000 a day over the duration of the time charter, bringing it a return of around $100 million per ship.
Last year, MPCC turned its first gain, with a net profit of $190 million, following a loss of $64.5 million in 2020. It reported that its average time charter rates had doubled to almost $17,000 a day, with new deals at much higher rates and for longer terms.
Said MPCC chief executive Constantin Baack: 'This transaction demonstrates the company's capability to identify and execute transactions that are both attractive in terms of earnings and environmental footprint in line with upcoming de-carbonisation regulations.'
Meanwhile, Zim president and CEO Eli Glickman said the deal with MPCC and MPC Capital represented 'another attractive chartering transaction for newbuild vessels' and the new tonnage would be 'ideally suited to serve on our expanded network of expedited services'.
According to Alphaliner data, Zim is currently the tenth-ranked carrier by capacity, with a fleet of 125 ships for 451,855 TEU, including just seven owned vessels.
SeaNews Turkey
Since its formation in 2017, Oslo-based MPCC has specialised in operating second-hand feeder ships, so the deal with Zim is a change of strategy for the non-operating owner, which described the deal as 'an extraordinary opportunity'.
MPCC said it had ordered two 5,500-TEU ships for delivery in early 2024, while MPC Capital announced an order in January for four ships to be delivered next year.
MPCC said it was paying US$72.2 million each for the eco-designed ships from South Korean shipyard HJ Shipbuilding & Construction and would receive an average of $39,000 a day over the duration of the time charter, bringing it a return of around $100 million per ship.
Last year, MPCC turned its first gain, with a net profit of $190 million, following a loss of $64.5 million in 2020. It reported that its average time charter rates had doubled to almost $17,000 a day, with new deals at much higher rates and for longer terms.
Said MPCC chief executive Constantin Baack: 'This transaction demonstrates the company's capability to identify and execute transactions that are both attractive in terms of earnings and environmental footprint in line with upcoming de-carbonisation regulations.'
Meanwhile, Zim president and CEO Eli Glickman said the deal with MPCC and MPC Capital represented 'another attractive chartering transaction for newbuild vessels' and the new tonnage would be 'ideally suited to serve on our expanded network of expedited services'.
According to Alphaliner data, Zim is currently the tenth-ranked carrier by capacity, with a fleet of 125 ships for 451,855 TEU, including just seven owned vessels.
SeaNews Turkey
