Vintage bulk carriers attract buyers as two-tier market strengthens

Greek shipowners have capitalised on these market conditions by offloading vintage vessels, typically those approaching 20 years of age.

“The secondhand vessel market has seen a significant drop in values, particularly for non-eco vessels,” noted shipbroker Weberseas in its latest weekly report. Kamsarmaxes have been the most affected, with analysts reporting nearly 25% value corrections since August of last year. Similarly, non-eco Ultramaxes and Handysize vessels have experienced a decline of around 15% over the same period. In contrast, Capesize values have shown some resilience, holding their strength despite slight softening.

At the same time, five to 10-year-old assets saw significant value gains last year and continue to perform relatively well.

Riviera reported last August that the price gap between vintage and modern bulk carriers has surged to its highest level since 2008. This has created a distinct two-tier market as the global fleet continues to age. Data from shipbroking house Intermodal revealed a five-year-old Kamsarmax is now US$26.5M more expensive than a 20-year-old Panamax, marking a price difference not seen in the last 16 years.

Greek Panamaxes gaining attention

Amid the declining values, there has been increasing interest in older vessels, particularly Panamaxes. According to Weberseas data, six out of the eight Panamaxes sold in the S&P market since last month were over 20 years old.

One of the most notable transactions last week involved Alpha Bulkers, controlled by Anna Angelicoussis, which was linked to the sale of the 2002-built Panamax Alpha Melody for approximately US$6.0-7.0M. Riviera understands Alpha Bulkers is close to finalising the sale of this vessel, which is the oldest in its fleet. The dry cargo division of the Anna Angelicoussis group has been particularly active in renewing its fleet in recent years.

In two other reported deals, a Greek-owned Panamax built in 2005 was sold for around US$8.1M, while a slightly older vessel (built in 2004) fetched about US$8.5M. Shipbroker Advanced Shipping & Trading reported a 2004-built Panamax was sold for US$11.0M in November, further indicating the ongoing decline in non-eco tonnage values.