Genco Shipping & Trading Limited announced the purchase of two 2020‑built Newcastlemax vessels, each with a deadweight tonnage of 208,000 dwt and fitted with scrubbers, for a total price of $145.5 million. The vessels are scheduled for delivery in the first quarter of 2026 and will be financed with cash on hand and a drawdown from the company’s $600 million revolving credit facility.
The acquisition is a key element of Genco’s “Value Strategy,” which prioritizes fleet renewal, financial deleveraging, and consistent shareholder returns. In the past two years the company has invested $343 million in modern tonnage, including two 2016‑built Capesize vessels in November 2023 and a 2020‑built Capesize in Q2 2025. The new Newcastlemax vessels will raise the company’s modern tonnage further, improving earnings power and dividend capacity while keeping the debt‑to‑equity ratio at a low 0.10 as of June 30 2025.
Financing the deal with cash and a credit facility drawdown preserves Genco’s low leverage profile. The $600 million facility provides ample borrowing capacity, and the absence of a special survey requirement until 2030 allows the vessels to operate at full capacity during a period of favorable freight rates, maximizing revenue generation without immediate downtime.
The vessels’ scrubbers and modern construction position Genco to meet tightening environmental regulations and benefit from lower operating costs. Management highlighted that the acquisition “underscores Genco’s continued success in executing its growth strategy and enhances the company’s earnings and dividend capacity.” The company’s consistent dividend policy and strong liquidity support ongoing shareholder returns.
Market context indicates that the $145.5 million purchase price aligns with current valuations for comparable Newcastlemax vessels, reflecting a balanced investment in a fleet that is expected to command premium charter rates in the drybulk market. The company’s outlook remains positive, citing robust supply‑demand fundamentals and a strategic focus on high‑return, low‑leverage growth.
Overall, the acquisition strengthens Genco’s competitive position, expands its modern fleet, and reinforces its commitment to delivering sustainable earnings growth and shareholder value.
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