Castor Maritime Inc. Announces New Charter Agreement for Its Recently Acquired Vessel & Fleet Commercial Update
Castor Maritime (NASDAQ: CTRM) announced the acquisition of a 2010 Japan-built Panamax dry bulk carrier, to be renamed Magic Horizon. The vessel will operate under a new charter for 10 to 14 months at a gross daily rate of $11,000, starting soon after delivery expected by mid-October 2020. This acquisition expands Castor's fleet to six vessels. The current fleet includes other vessels earning between $9,000 to $12,500 daily, enhancing revenue potential amidst changing global shipping demands.
- Acquisition of Magic Horizon enhances fleet capacity.
- New charter agreement secures predictable revenue of $11,000 per day for up to 14 months.
- Expanded fleet to six Panamax dry bulk carriers enhances market presence.
- None.
LIMASSOL, Cyprus, Oct. 07, 2020 (GLOBE NEWSWIRE) -- Castor Maritime Inc. (NASDAQ: CTRM), (“Castor” or the “Company”), a global shipping company specializing in the ownership of dry bulk vessels, announced today that in connection with its previously announced acquisition of a 2010 Japan-built Panamax dry bulk carrier vessel (to be renamed Magic Horizon), the Company has secured employment for the subject vessel by entering into a new charter party contract with an expected term of between ten (10) to fourteen (14) months at a daily gross hire rate of
Following this commercial development, the Company’s fleet employment profile as of today is as follows:
| Vessel Name | DWT | Year Built | Country of Construction | Daily Gross Charter Rate | Estimated Redelivery Date (Earliest/ Latest) | ||
| Magic P | 76,453 | 2004 | Japan | December 2020 | March 2021 | ||
| Magic Sun | 75,311 | 2001 | Korea | November 2020 | December 2020 | ||
| Magic Moon | 76,602 | 2005 | Japan | October 2020 | October 2020 | ||
| Magic Rainbow | 73,593 | 2007 | China | November 2020 | January 2021 | ||
| TBN Magic Horizon | 76,619 | 2010 | Japan | August 2021 | December 2021 | ||
| TBN Magic Nova (1) | 78,833 | 2010 | Japan | To be fixed closer to delivery | |||
(1) The Magic Nova is expected to be delivered to the Company by mid-October 2020.
About Castor Maritime Inc.
Castor Maritime Inc. is an international provider of shipping transportation services through its ownership of dry bulk vessels. The Company’s vessels are employed primarily on medium-term charters and transport a range of dry bulk cargoes, including such commodities as coal, grain and other materials along worldwide shipping routes.
Upon completion by mid-October 2020 of the two previously announced acquisitions of two 2010 Japan-built Panamax dry bulk carriers, the Company's fleet will consist of six Panamax dry bulk carriers.
For more information please visit the Company’s website at www.castormaritime.com
Cautionary Statement Regarding Forward-Looking Statements
Matters discussed in this press release may constitute forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements in order to encourage companies to provide prospective information about their business. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “anticipate,” “intend,” “estimate,” “forecast,” “project,” “plan,” “potential,” “will,” “may,” “should,” “expect,” “pending” and similar expressions identify forward-looking statements. The forward-looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, our management’s examination of historical operating trends, data contained in our records and other data available from third parties. Although we believe that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, we cannot assure you that we will achieve or accomplish these expectations, beliefs or projections. We undertake no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise. In addition to these important factors, other important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward‐looking statements include general dry bulk shipping market conditions, including fluctuations in charterhire rates and vessel values, the strength of world economies the stability of Europe and the Euro, fluctuations in interest rates and foreign exchange rates, changes in demand in the dry bulk shipping industry, including the market for our vessels, changes in our operating expenses, including bunker prices, dry docking and insurance costs, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, potential disruption of shipping routes due to accidents or political events, the length and severity of the COVID-19 outbreak, the impact of public health threats and outbreaks of other highly communicable diseases, the impact of the expected discontinuance of LIBOR after 2021 on interest rates of our debt that reference LIBOR, the availability of financing and refinancing and grow our business, vessel breakdowns and instances of off‐hire, risks associated with vessel construction, potential exposure or loss from investment in derivative instruments, potential conflicts of interest involving our Chief Executive Officer, his family and other members of our senior management, and our ability to complete acquisition transactions as planned. Please see our filings with the Securities and Exchange Commission for a more complete discussion of these and other risks and uncertainties. The information set forth herein speaks only as of the date hereof, and the Company disclaims any intention or obligation to update any forward‐looking statements as a result of developments occurring after the date of this communication.
CONTACT DETAILS
For further information please contact:
Petros Panagiotidis
Castor Maritime Inc.
Email: ir@castormaritime.com
Media Contact:
Kevin Karlis
Capital Link
Email: castormaritime@capitallink.com
FAQ
What is the purpose of Castor Maritime's acquisition of Magic Horizon?
What is the expected revenue from the charter of Magic Horizon?
When is the delivery date for the Magic Horizon vessel?
How many vessels will Castor Maritime operate after this acquisition?
What are the financial terms of the new charter contract?
