Norden adds four Capesize newbuilds to its bulk carrier portfolio

Denmark-based Norden has acquired four Capesize bulk carrier newbuildings as the shipping company increases its focus on decarbonization.

As explained, with this move, the shipping player aims ”to meet strong demands from customers looking to unlock economies of scale by sizing up to improve efficiencies while lowering emissions”.  

Last year, Norden initiated its Capesize operation with five owned vessels. Expanding into Capesize means that the company can now service customers across all dry cargo vessel segments, ensuring cost-efficient and climate-friendly solutions.

With the latest investments, adding to the five owned and seven chartered Capesize vessels, Norden gradually moves closer to its ambition to operate between 20-25 Capesizes.

The investments are furthermore a testament to the long-term opportunities the company is seeing in the dry cargo markets, according to Norden.

Besides giving customers the opportunity to upsize to improve supply-chain efficiencies, Capesizes also enables Norden to enhance the scope of current and future logistics projects, all while strengthening the ambitions to decarbonize our customers’ supply chains.

“With our latest investments in not only Capesizes but also in Projects & Parcelling and logistics, we are now able to provide our customers with a truly unique full-service approach across all dry cargo segments, with a strong focus on decarbonisation,” Jan Rindbo, CEO of Norden, commented.

The four vessels are expected to be delivered between 2025-2027. No further details on the ships have been disclosed.

In 2023 — a year characterized by volatility and uncertainty, Norden delivered a net profit of $400 million and a ROIC of 32% – the fifth best result in company history. The strong financial performance has been delivered despite declining freight rates.

“While we have delivered solid financial performance throughout the year, we have at the same time executed well on the strategic agenda by expanding our business offering to our customers with Capesize operations, successfully integrated the acquired Projects & Parcelling activities and accelerated our decarbonisation initiatives, including a reduction in our emissions (EEOI) by 9% Y/Y,” the company said, announcing the 2023 financial results last month.