Greenship Bulk Trust to Shut Down Its Business

Business & Finance

Singapore-based Greenship Bulk Trust has decided to close down its business following the delivery of its last vessel, repayment of the loan in principal and interest and distribution of the second tranche of the sale proceeds.

The company is currently in the process of selling its entire fleet of fourteen ECO Crown-63 Ultramax bulk carriers.

Nine bulkers from the batch were purchased by Connecticut-based operator of dry bulkers Eagle Bulk Shipping for a price of USD 153 million in late March. The remaining five ships would be sold to institutional investors advised by J.P. Morgan Asset Management.

The proceeds from the sales would be distributed to the unitholders in two tranches, the first tranche in June 2017 and second tranche in September 2017, according to Greenship Bulk Trust.

As at June 16, 2016, the sale of nine vessels has been completed and a first tranche of dividend distribution will be based on these sales proceeds.

After payment of all costs and expenses, loan interest and principal repayment upon delivery of each relevant vessel, 25% of the seller’s credit associated to each vessel delivered, the cash surplus generated as at June 16, 2017 is USD 26.7 million, the company informed.