Investment trust insider on Taylor Maritime – James Carthew: It’s a family affair at Taylor Maritime fund
After a brief pause following the successful launch of VH Global Sustainable Opportunities (GSEO), the investment company IPO (initial public offer) market is reawakening with news of an impending launch by Taylor Maritime Investments. This would be a competitor to the highly successful Tufton Oceanic Assets (SHIP), which I think is a healthy development.
Taylor Maritime Investments is looking for $150m (£179m) to part fund the purchase of a $264.1m fleet of Handysize (15,000-35,000 DWT) and Supramax (50,000-60,000 DWT) ships. There is a portfolio of 23 such ships lined up to buy shortly after admission. This would enable the investment company to start generating income soon after launch. The target is for returns of 10-12% a year (after expenses and fees) and an annual dividend yield of 7% on the flotation price.
Taylor Maritime Investments would be a self-managed investment company (with executive as well as non-executive directors).
The proposed launch is interesting for a number of reasons, not least of which is that this is very much a family business. The chief executive and driving force behind the fund is Edward Buttery. He has accumulated over 15 years of experience of the shipping industry, with spells at Clarksons shipbrokers, Pacific Basin, Asia Maritime Pacific and Nordea Bank, where he was part of a team lending senior debt to global shipping companies with a presence in Asia.
Chief strategy officer is Buttery’s… read more here