Jinhui continues fleet trim with another supramax sale

Jinhui Shipping and Transportation, a prominent player in the Chinese dry bulk sector, has finalized the sale of its fourth vessel this year, the supramax bulker Jin Ji. The 2009-built ship has been sold to Huwell Tanker Spring for $11 million, with the transaction expected to close by the end of August. This sale is part of Jinhui’s strategic efforts to reshape its fleet and mitigate risks associated with fluctuating freight markets.

Strategic Fleet Restructuring

The Jin Ji, a 65,900 dwt vessel constructed at Shanghai Shipyard, is a sister ship to the recently sold Jin Gang. Jinhui’s decision to divest these vessels is aimed at adjusting its fleet profile and reducing operational risk. According to a company filing, this move will not only enhance working capital but also strengthen liquidity. The company anticipates a non-cash loss of approximately $1.1 million based on the vessel’s net book value as of May 31.

Maritime incidents involving India and its seafarers rose

This sale contributes to a total of around $71 million raised by Jinhui through various vessel sales and financial transactions this year. This figure includes the sale of three older supramax vessels and sale-and-leaseback agreements involving an ultramax and a kamsarmax with Chinese lessors. Currently, Jinhui operates a fleet of 30 vessels, primarily focusing on the supramax and ultramax segments, as it navigates the challenges of the volatile shipping market.