Belships ASA: Acquisition of a new Ultramax bulk carrier

13 Apr 2023 08:51 CEST

Belships has entered into agreement for the acquisition of a new 64 000 Ultramax
bulk carrier which is being constructed at a Japanese shipyard. Delivery of the
vessel is expected within Q4 2025 to Q1 2026. The vessel is financed on a
similar structure as the previously announced acquisition of three vessels in
February. The agreement is conditional upon certain steps to be completed by the
parties involved.

Including the previous announcements, Belships now has a total of four
newbuildings under construction in Japan during 2024 to 2026. Belships is not
required to make any down payments for these transactions. All four vessels are
fully financed through time charter lease agreements for a period of 7 to 10
years, with purchase options around current market levels during the charter.
There is no obligation to purchase the vessels. Cash breakeven for the vessels
upon delivery will be about USD 14 000 per day.

Belships will be taking over new vessels whilst the orderbook and supply side in
the dry bulk market approaches the lowest levels in decades. New Japanese-design
Ultramax bulk carriers represent the highest quality and lowest fuel consumption
available in the market today.

"We are able to increase our fleet again without investing any cash, this will
therefore not affect our dividend capacity," said Belships CEO, Lars Christian
Skarsgård.

Including announced transactions, the owned fleet will consist of 35
Supra/Ultramax bulk carriers with an average of about 4 years. Based on current
market expectations, we expect to generate significant free cash flow and aim to
pay quarterly dividends as announced with our dividend policy.

For further information, please contact Lars Christian Skarsgård, Belships CEO,
phone +47 977 68 061 or e-mail LCS@belships.no


This information is subject to the disclosure requirements pursuant to Section
5-12 the Norwegian Securities Trading Act

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