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As a counterpoint, Danaos Corporation, on Monday, threw down the gauntlet issuing an open letter to Eagle Bulk Shipping’s Board of Directors questioning the latter’s recent decision to repurchase Oaktree Capital’s (“Oaktree”) entire 28% stake in the Eagle Bulk at nearly a 35% premium to the company’s 45-day average share price and its decision to adopt a poison pill without seeking prior shareholder approval, which precludes Danaos from acquiring any additional shares. Companies: Danaos Corporation, Eagle Bulk Shipping, Oaktree Capital

We are big fans of Constantin Baack’s characterization of his management of MPC Container Ships (“MPCC”) as portfolio optimization. Like a chess grandmaster, each of his moves, whether changing the fleet mix or financing, is strategic and has an overall positive impact on both operations and the balance sheet. Companies: MPC Container Ships, Lomar Shipping,

A maritime leasing and finance company primarily focusing on vessels operating on inland waterways under the Jones Act, Maritime Partners, LLC announced the successful completion of its inaugural securitization transaction, which notably was the first ABS issuance composed entirely of inland marine vessels. Companies: Maritime Partners, LLC, Atlas SP Securities, Apollo Global Securities, Vedder Price

There are times when the pieces of a puzzle fall into place. For Klaveness Combination Carriers (“KCC”) recent macro trends and a favorable market backdrop offered the company the opportunity to renew its fleet. Companies: Klaveness Combination Carriers, ABG Sundal Collier, Clarksons Securities, DNB Markets

In an unforgettable year in shipping, the role of credit was merely background noise. It was present but less consequential, as owners were “long” cash, having experienced another year of strong markets.

Last week, Cadeler A/S and Eneti Inc. announced that they have entered into a business combination agreement through a stock-for-stock exchange offer to be made to all stockholders of Eneti. Companies: Cadeler A/S, Eneti Inc., DNB Markets, Perella Weinberg Partners

Last Friday, Danaos Corporation disclosed that it had purchased 1,370,836 shares representing 9.99% of the shares outstanding of Eagle Bulk Shipping. Companies: Danaos Corporation, Eagle Bulk Shipping, Costamare Inc.

Back in March, Navigator Holdings entered into a $200 million senior secured term loan with Nordea, ABN AMRO, Skandinaviska Enskilda Banken, and BNP Paribas to refinance its June 2017 Secured Term Loan and Revolving Credit Facility and the October 2016 Secured Term Loan and Revolving Credit Facility that were due to mature in June and October 2023, respectively. Companies: Navigator Holdings, Nordea, ABN AMRO, Skandinaviska Enskilda Banken, BNP Paribas

Last week, Tsakos Energy Navigation Ltd. (“TEN”) announced that it has called for redemption at par of all 3,517,061 of its outstanding 8.75% Series D Cumulative Redeemable Perpetual Preferred Shares (“Series D Preferred Shares”), which will take place on July 7, 2023. Company: Tsakos Energy Navigation Ltd.

Robert Bugbee makes the case for a pure play strategy. With a strong product market, Scorpio Tankers is taking advantage of its operating leverage, largely deploying its fleet in the spot market while opportunistically fixing some vessels on long-term charters. Companies: Scorpio Tankers

Nearly ten years had passed and for Oaktree Capital Management it was time for an exit from its shareholding in Eagle Bulk Shipping, which had been acquired in a debt-for-equity swap through the bankruptcy process. Companies: Oaktree Capital Management, Eagle Bulk Shipping, Danaos Corporation

We have ridden this hobby horse before and perhaps, one might say, too often. Still the concept nags at us. But having just finished reading “Power Failure: The Rise and Fall of an American Icon” by William Cohan, we were again reminded of the risks of buying back shares. Needing to dismantle GE Capital as a consequence of the financial crisis, GE’s management used the proceeds from the sale of portions of that business to buy back shares leaving it riddled with debt and lacking sufficient liquidity. Companies: Gram Car Carriers, Fearnley Securities

Working with various financial institutions, Globus Maritime Limited is exploring financing and refinancing transactions with better terms and conditions in order to expand and modernize its fleet. In its Q1 2023 earnings release, the company, as part of the process, disclosed that it had reached an agreement with First Citizens Bank & Trust Company (formerly known as CIT Bank N.A.) Companies: Globus Maritime Limited, First Citizens Bank & Trust Company, CIT Bank N.A.

In an effort to rid itself of expensive “debt,” Ocean Yield AS, on Monday and Tuesday, bought back $42.26 million of its hybrid perpetual bond OCY06. Company: Ocean Yield AS

In its latest quarterly presentation, Diana Shipping announced that it has signed a term sheet with a major European bank for a new six and a half years sustainability linked loan facility in an amount of up to $100 million. Company: Diana Shipping

Last week, BW LPG Limited launched a tender offer to buy back the equivalent of $25–50 million (the “Offering”) of its own shares through a reverse bookbuilding process in which shareholders could submit sales offers. Companies: BW LPG Limited, DNB Markets

Acknowledging Danaos Corporation’s prudent focus on its balance sheet and conservative commercial strategy, S&P Global Ratings last week, upgraded the long-term issuer credit and issue ratings on the company and its unsecured notes to ‘BB+’ from ‘BB’ with a stable outlook. Companies: Danaos Corporation, S&P Global Ratings,

Last week, BW Epic Kosan Ltd. announced that it had secured its first Sustainability Linked Loan (“SLL”) to refinance 19 vessels for up to $140 million alongside an acquisition line of $20 million to finance potential growth opportunities. Companies: BW Epic Kosan Ltd., ABN AMRO, Crédit Agricole CIB, Skandinaviska Enskilda Banken, Standard Chartered Bank, Iyo Bank.

Last week, Dorian LPG Ltd. announced its seventh consecutive “irregular” quarterly dividend of $1.00/share for a total amount payable of approximately $40.4 million. Since the company commenced paying dividends in July 2021, it has returned a total of $341.8 million to shareholders in this manner. Companies: Dorian LPG Ltd. , Helios LPG Pool , Phoenix Tankers, Mitsui OSK Lines Ltd, Hyundai LNG Shipping Company

The arguments for diversification versus pure play strategies are well known with each having their obdurate supporters. In fact, the re-shaping of the Navios group of companies under the leadership of Angeliki Frangou over the past 19 years could serve as a case study for the argument’s pros and cons. In constant transition, companies were sold, acquired, spun off, and combined. Company: Navios Maritime Partners