EuroHoldings locks in $24m from boxship
EuroHoldings has secured new long-term charters for its two aging feeder containerships at rates of $24,000 and $20,500 per day, generating an expected $24 million in EBITDA to fund a strategic shift into product tankers.
EuroHoldings has fixed its two vintage feeder containerships into fresh period charters, securing a significant cash flow boost as it builds liquidity for a strategic shift into product tankers. The new deals for the Joanna and Aegean Express are expected to contribute approximately $24 million in EBITDA.
The 1,732 TEU Joanna has been fixed for a minimum of 30 months, with an option for up to another 20 days at the charterer's discretion. The new contract, which starts on December 2, pays $24,000 per day. This represents a substantial increase from the vessel's current rate of $16,500 per day.
The 1,439 TEU Aegean Express has secured an extension for a period between 24 and 26 months at $20,500 per day, effective from January 1. Its existing charter, paying $16,700 per day, runs through the end of this year.
Charter Coverage and Financial Impact
The fixtures significantly increase EuroHoldings' contracted revenue. The company now has its charter coverage secured at approximately 79% for the remainder of 2026, 48% for 2027, and 47% for 2028. The minimum periods of the two new charters are the source of the expected $24 million EBITDA contribution. This locked-in cash flow is central to the company's pivot.
Funding a Strategic Pivot to Tankers
The deals provide EuroHoldings with more contracted cash flow as it executes a strategic shift. The company is moving away from its origins as a feeder containership operator and into the MR (Medium Range) product tanker sector. The capital from these containership charters is intended to fund this expansion.
According to a May report from Splash, the Latsis-linked company is buying its second MR product tanker from Latsco Shipping for $39.25 million. This followed a $31.83 million deal for its first MR late last year. Once both acquisitions are delivered, EuroHoldings' fleet will consist of four vessels: two feeder containerships totaling 3,171 TEU and two 49,997 dwt product tankers.
Notable Rates for Vintage Vessels
The new charter rates are considered notable given the advanced age of the two feeder ships. The Joanna was built in 1997 and the Aegean Express in 1999. The long-term commitments extend the employment of the larger Joanna into mid-2029 and the smaller Aegean Express to around the end of 2028, securing income from these older assets for years to come.
The following table compares the key details of the two new charter fixtures:
| Vessel | TEU Capacity | New Daily Rate | New Charter Period | Current Daily Rate |
|---|---|---|---|---|
| Joanna | 1,732 | $24,000 | Min. 30 months + 20-day option | $16,500 |
| Aegean Express | 1,439 | $20,500 | 24 to 26 months | $16,700 |
With these charters finalized, EuroHoldings has fortified its financial position for its planned fleet renewal and sector transition.
