MPC Container Ships keeps renewal momentum with newbuilds at Fujian Mawei

Oslo-listed MPC Container Ships (MPCC) is advancing its fleet renewal strategy by ordering two state-of-the-art 1,600 TEU containerships from Fujian Mawei Shipyard in China. Scheduled for delivery in the latter half of 2027, these vessels will be deployed on eight-year charters, with options for an additional two years, to an undisclosed global liner. The investment, totaling $66 million, is expected to yield significant revenue and EBITDA for the company.

Strategic Investment and Fleet Modernization

The decision to add these two ships aligns with MPCC’s long-term strategy to modernize its fleet while ensuring financial flexibility. The charters for the new vessels are projected to generate around $92 million in revenue and approximately $54 million in earnings before interest, taxes, depreciation, and amortization (EBITDA) over the eight-year period. Each ship will be designed with a fuel-efficient hull, shallow draft, and high maneuverability, making them ideal for operations in Northern European ports, which often have constraints on vessel size.

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In a statement, Constantin Baack, co-CEO of MPCC, emphasized the importance of this transaction for the company’s fleet transformation. “It aligns with our long-term fleet renewal strategy to generate sustainable value through modernization and optimization while securing long-term employment with top-tier liner companies,” he said. The investment will be financed through a combination of equity and debt, allowing MPCC to maintain its balance-sheet flexibility and support future dividend growth.

Baack also noted that the supply dynamics in MPCC’s core feeder markets are favorable, with only about 6% of the current fleet expected to be renewed in the next two to three years. This presents a unique opportunity for MPCC to capitalize on a market where nearly 25% of vessels are over 20 years old. The recent order follows a previous expansion in July, where MPCC ordered four 4,500 TEU vessels, each at a cost of around $57 million, further solidifying its growth strategy in the container shipping sector.