Jebsens Consolidates Position in Gearbulk Deal

In a further realignment of the Gearbulk pool, Kristian Gerhard Jebsen Skipsrederi (KGJS) has consolidated its dominant position, following the purchase of Mowinckel interests. The Bergen based company has bought a 25% interest held by J. Ludwig Mowinckel, which is now concentrating its activities on the tanker sector. The deal includes the purchase of four bulk carriers owned by Mowinckel, the 43,000 dwt Heina and Lista, built 1984 and the 38,800 dwt Horda and Folga, built in 1981, and the company’s interests in six bulk carriers operated in the Gearbulk pool.

The transaction continues a process started last year, which saw Jebsen dramatically increase its investment with the purchase of 15 ships from the French partner Louis Dreyfus, in a deal worth around $300m. The acquisition was financed by eight year term loan facilities, arranged and structured by Manufacturers Hanover Trust. Jebsens also raised $108m last year through a ten year loan to finance three newbuildings, and $43m to finance three other vessels. Both facilities were arranged by Manufacturers Hanover.

Dreyfus retains a 50% interest in the management company Gearbulk Ltd, but has considerably reduced its involvement in the operation of the pool. The French company has leased the vessels back from Jebsens, but they are not committed to the pool.

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