When the December 21st press release announcing Plano, TX (near Dallas), headquartered Beal Bank’s participation as a lead new lender in Centerline Logistics’ (“Centerline”) $425 mm refinancing coincided with our LinkedIn discovery that it was CSG Investments (“CSG”) Andy Longhurst’s 10th anniversary at the firm (CSG is a global buy-and-hold institution and affiliate of and investment consultant for Beal Bank that houses many of Beal Bank’s business development professionals) we took it as a sign that we should give Andy a call and catch up on things. And call we did. Companies: Beal Bank, Centerline Logistics, CSG Investments, Nordic American Tankers, MPC Container Ships, Kosmos Energy, Lloyds, Maroil Trading Inc.

As cash-rich owners look to grow their businesses without making vessel purchases at a high point in the cycle, we have noted a significant pick up in M&A activity among maritime services companies. One recent example is the acquisition of Zeaborn Ship Management (“Zeaborn”) by MPC Capital (“MPC”), a Hamburg-based asset management firm, in conjunction with Wilhelmsen Ship Management (“Wilhelmsen”), on the 21st of December 2023. Companies: Zeaborn Ship Management, MPC Capital, Wilhelmsen Ship Management, Oaktree, OSM, V.Ships, Zech Maritime Holdings, Tufton Investment Management, United Heavy Lift

Ours is a remarkably complex global industry. Meeting the demands of global supply chains, safely, with respect for the women and men around the world engaged in this vital business is demanding of great skill.

Strengthening balance sheets, consolidation, tighter interest spreads, the resurgence of offshore, chaotic does not begin to describe this year, but luckily shipping appreciates chaos!

It is not often one has the chance to write about the success of a dynamic duo, who so wonderfully, surrounded by great talent created success in every endeavor. But, as the news of the acquisition of Penfield Marine (“Penfield”) by Maersk Tankers is by now well known, it gives us the chance here to also dust off some old quotes from the past about Penfield CEO Tim Brennan and his ability to attract the best talent. Companies: Penfield Marine, Maersk Tankers, Heidmar, Morgan Stanley, Pareto Securities, Ischyra Europa, Seward & Kissel

Debt played a major thematic role throughout 2023, whether it was deleveraging or the prominent roles of private credit and bond markets with tightening interest spreads, then right around the holiday season the Fed graced us with the news of possible rate cuts this year and continuing as far as 2026. Companies: Dorian LPG , Crédit Agricole Corporate and Investment Bank, ING Bank N.V., Skandinaviska Enskilda Banken AB, BNP Paribas, Danish Ship Finance A/S

The year 2022 witnessed persistent global financial market instability due to a combination of factors, including the aggressive interest rate hikes by central banks worldwide driven by high inflation, and geopolitical uncertainties like the war in Ukraine. These conditions resulted in a substantial decline in bond prices.

We expect many of the trends seen in 2023 to continue in 2024. Subdued inflation has given the U.S. Fed confidence in signaling rate cuts three times in 2024, which has lifted the equity markets and will come as relief to some shipping borrowers. On the other hand, a US recession, which is deemed likely, and another unforeseen global crisis could damage the economy.

The past year was one of intense discussions surrounding the energy market: what source is green enough, has readily available infrastructure/availability, and is energy dense enough as carbon taxes emerge in 2024? Not only that, but increased conflicts globally have stressed the need for energy independence – coincidentally with the “green revolution.” Companies: Energos Infrastructure, Dynagas, Gaztransport & Technigaz

Last year, B. Dyson Capital Advisors (“B. Dyson”) won our award for Equity-Linked Deal of the Year with a Convertible Bond Exchange completed for Scorpio Tankers (“Scorpio”). We said they “helped Scorpio to design and execute a solution that looked artful at the time but now looks downright genius.” This year they are at it again with a strategy for dry bulk operator Diana Shipping (“Diana”), which again looks artful but only time will tell if it’s again genius! Companies: B. Dyson Capital Advisors, Scorpio Tankers, Diana Shipping

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Last week, Himalaya Shipping Ltd. successfully concluded a private placement of 3,117,143 new shares at a subscription price of NOK 62 raising gross proceeds of NOK 193.3 million equivalent to approximately $17.5 million. Companies: Himalaya Shipping Ltd., Clarksons Securities, Arctic Securities