Taylor Maritime Investments has agreed to sell a 2009 built Handysize vessel for proceeds of $17.2m. The vessel was an IPO seed asset and the sale is expected to complete before the end of August 2022, generating an IRR of 80% and MOIC of 1.9x. This represents an 8% premium to the 31 March 2022 fair market value. Once the sale completes, the fleet will comprise of 27 ships with no further vessels currently contracted for sale.
Separately, the company has agreed with the buyer to cancel the vessel sale previously announced on 30 March 2022. The vessel’s value has since increased by more than 10% over the sale price and the ship has now been fixed on a 1-year charter at a yield in excess of 40%, as announced on 30 May.
The current average net time charter (TC) rate for the fleet is $20,250 per day with an average annualized unlevered gross cash yield of 29%. This is based on last announced fair market values and compares to the equivalent figures of $18,600 per day and 24% yield as at 31 March 2022. The average charter duration cover for the fleet is 8 months versus 6 months at the last quarter end.
The company has covered 53% of remaining fleet days for the Financial Year ending 31 March 2023 at an average net TC rate of $19,700 per day. This provides strong earnings visibility and certainty, with the opportunity in this good market, to secure more charters at attractive rates for the remaining open days for the fleet.
TMI : Taylor Maritime sells one vessel and cancels sale of another