News Details

Steadily expanding LMZ buys Veniamis supramax pair

Cyprus-based LMZ Shipping is continuing its slow but steady fleet expansion, emerging as the buyer of two of the supramaxes shed by Greece’s Golden Union in recent months.

27th October 2016

LMZ managing director George Bachos confirms his company has bought the 56,800-dwt Flag Alexandros (renamed LMZ Vega, built 2010) and 56,800-dwt Georgianna Bo (renamed LMZ Europa, built 2011).

The deal was concluded a couple of months ago but went largely unreported.

Bachos, whose company moved from Greece to Cyprus earlier this year, declined to discuss the price for the two vessels but VesselsValue estimates the pair to be worth almost $14m combined.

Fleet of seven ships

Since late 2013, LMZ has been gradually building up a dry bulk fleet, which now numbers seven units. Its previous acquisition was the 81,600-dwt LMZ Bianca (built 2013), which it purchased as Grain Pearl in August last year for up to $17m.

The LMZ Bianca is the youngest vessel in the company’s fleet and is its only kamsarmax.

All of LMZ’s other six bulkers are Chinese-built supramaxes between four and six years old.

By contrast, Theodore Veniamis-led Golden Union is selling vessels for the first time in seven years. This may be to make space for up to seven panamax newbuildings that the company currently is listed as having under construction at Avic Weihai Shipyard and Cosco Dalian.

TradeWinds reported last week that the outfit had sold two supramaxes — the 56,700-dwt Anna Bo (built 2010) and 56,800-dwt Flag Mersinidi (built 2012), which initially were said to have gone to undisclosed buyers in an enbloc sale worth a total of $15m.

But sources close to United Arab Emirates (UAE)-based Tomini Shipping confirm to TradeWinds that the company bought the Cos­co Guangdong-built Anna Bo but denies market speculation it also bought the Flag Mersinidi, which has found a Greek buyer for further trading, according to other broker reports.

Tomini chief executive Nitin Mehta was unwilling to confirm or deny the deals, claiming the company does not comment on reported individual transactions given clauses in the contracts.

No comment forthcoming

TradeWinds requested comment from Golden Union when the deal was first reported earlier this month but received no response.

These four sales reduce Golden Union’s dry bulk fleet to 36 ships. Some brokers and sources show the Piraeus-based company to be the buyer of the 76,600-dwt panamax Ocean Rose (built 2008), which is said to have changed hands in July for about $9.5m. However, the Ocean Rose is still listed as owned by Shoei Kisen of Japan.

As well as the Anna Bo, Tomini bought the Ha Long-built, 53,000-dwt United Jalua (renamed Tomini Dignity, built 2010) for $5.6m in an unreported deal. In July, it made a more surprising move when it picked up the 45,000-dwt Atlas Explorer (renamed Tomini Amity, built 1995).

Tomini is listed with seven trading bulkers, all but one are supramaxes or ultramaxes built in 2010 or later. The company also has a newbuilding programme including as many as nine 63,000-dwt bulkers at China’s CIC Jiangsu Shipyard, reportedly costing $27m each. Two of these have been delivered, five are still to come in 2017 and 2018, and two were reported cancelled before construction even began.

Tomini was established in 1952 by trader Mian Kader Baksh, who was succeed by his sons. The company later moved to Karachi and the UK.

Source: TradeWinds