WESTERN BULK CHARTERING (Oslo ,10 July 2024 )Western Bulk Chartering AS (Western Bulk, OSE:WEST) today announces the sale of the 2019-built ultramax vesselWestern Oslo , realizing a net profit of approximatelyUSD 4.5 million , following the exercise of the vessel purchase option. "The transaction exemplifies the commercial acumen of Western Bulk's globally renowned chartering team and underscores the exceptional flexibility of our business model. It stands as a testament to our team's expertise and strategic approach, enabling us to capitalize on market opportunities across business cycles. The transaction supports our asset-light business model and dividend distribution policy," says Ørjan Svanevik, interim Chief Executive Officer and Board member of Western Bulk. Western Bulk has entered into an agreement to sell theWestern Oslo to an unnamed buyer by exercising a purchase option with a subsequent sale in the second-hand market. The details of the transaction are subject to confidentiality agreements, but Western Bulk expects book a net profit of approximatelyUSD 4.5 million in the third quarter 2024. "The second-hand market for 5-year-old eco ultramax vessels was approximatelyUSD 3.5 - 4.5 million lower last year compared to this year. As an asset-light operator in the dry bulk market, we are pleased to profit from historical lease contracts with our close counterparts. With theWestern Oslo , we successfully leveraged a strong spot market in 2021-2022 and capitalized on favorable asset market conditions in 2024," says Jørgen Veie-Rosvoll, Head of Period Tonnage in Western Bulk. Following theWestern Oslo transaction, the company continuously evaluates the other purchase options in the trading book. For more information, please contact: Ørjan Svanevik, Board member and Interim Chief Executive Officer E-mail: orjan.svanevik@westernbulk.com Jørgen Veie-Rosvoll, Head of Period Tonnage Tel: +47 48238213 E-mail: jorgen.veie-rosvoll@westernbulk.com About Western Bulk Chartering:Western Bulk Chartering AS is a major dry bulk shipping operator. The company is owned by theKistefos Group (68,7 %), Sayonara AS (former Ojada AS) (8,3 %), and a group of about 1100 other shareholders.Western Bulk Chartering AS is registered on Euronext Growth Oslo.
Click here for more information
© Oslo Bors ASA, source
