Fujian Highton Orders Two More 62,000 DWT Heavylift Vessels at Taizhou Kouan
Fujian Highton Development, a prominent Chinese shipping company, has recently placed an order for two new multipurpose heavylift vessels at Taizhou Kouan Shipbuilding. This order expands the company’s total order at the shipyard to nine ships. The contract, signed by its subsidiary Haitong International Shipping, covers two 62,000 dwt vessels with a total investment of RMB600 million (approximately $89 million) before tax. The financing for these ships will be a combination of internal funds and external financing.
Accelerating Fleet Expansion
Fujian Highton has been aggressively expanding its fleet in the multipurpose and heavylift shipping sector as part of its broader fleet expansion strategy. The company had previously contracted three sisterships in January and another four in April, totaling up to RMB2.7 billion in commitments for the nine-ship series. Dry bulk shipping remains the core of the company’s business, with a controlled fleet of over 5 million dwt earlier this year.
Future Fleet Expansion Plans
The latest order of two additional ships is a significant step towards the company’s goal of building a 100-ship fleet. Although delivery dates for the new vessels have not been specified, the shipyard is required to deliver each vessel within 12 months of steel cutting, subject to permitted delays.
Innovative Financing Strategy
The financing strategy for these vessels, using a combination of internal funds and external financing, showcases the company’s ability to leverage different sources of capital to support its expansion plans. This approach highlights a strategic financial decision to optimize funding for these substantial investments in new ships.
In conclusion, Fujian Highton’s latest order for two multipurpose heavylift vessels at Taizhou Kouan Shipbuilding marks another milestone in the company’s aggressive fleet expansion strategy. With a strong focus on the dry bulk shipping sector and innovative financing strategies, the company is positioning itself as a key player in the Chinese shipping industry’s growth and development.
