Atlas and EMF cash in on car carrier newbuilds

Greek owner Atlas Maritime and Danish shipping investment firm European Maritime Finance (EMF) have confirmed a lucrative asset play involving at least one of their car carrier newbuildings.

The duo has revealed the delivery of the 7,000 ceu Electric Star to Noatum Maritime for an undisclosed price tag.

S&P sources list the transaction at $115m for the vessel ordered at CIMC Raffles for $85m back in 2022, with another unit named Green Star also sold to the maritime and shipping arm of ports and logistics giant AD Ports Group delivering later in the year.

Noatum, which has already renamed the LNG-fuelled ship as UGR Al Samha, will deploy it for trades under a recently formed joint venture with Erkport in Turkey, called United Global Ro-Ro.

Atlas booked four car carriers at CIMC Raffles during the low point of the PCTC market amid covid 19 for delivery between 2025 and 2026. The second newduild, entering the market in about three months time, is also expected to go to Noatum at the same price.

If confirmed, the resale deal should bring the duo about $60m from both ships.

Atlas also has suezmax and aframax/LR2 tankers as well as very large ammonia carriers booked for construction at South Korean yards DH Shipbuilding and Hyundai Heavy Industries, respectively. The Leon Patitsas-led company and EMF made a similar move with two aframax newbuilds ordered at $44m and sold for $77.5m each.

“We analysed the fundamentals, fleet demographics, and anticipated that demand for cars would rebound after covid, noted Atlas CEO Patitsas, adding: “Our thesis proved correct, as we witnessed a significant increase in the export of electric cars from China–rising from 1m to nearly 6m cars per annum – a phenomenal growth. Consequently, the demand for car carriers increased, driving up asset values.”