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Cavalier Shipping insights on the current shipping finance market and recent events in the shipping space.
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Style Drift: The Cost of Teekay and Scorpio’s Foray Into Other Tanker Stocks
What should a public tanker company do with its excess cash in today’s market? The answer for two prominent tanker companies: invest in other publicly listed tanker companies.
Why Vessel Prices Remain Stubbornly High
Just as inflation in everyday goods can persist when consumers have more disposable income, ship prices can remain elevated when their natural buyers—shipowners—are flush with cash.
US Navy Shipbuilding - Up Next for Department of Governmental Efficiency?
As U.S. government spending scrutiny intensifies under the Trump Administration, the Navy’s shipbuilding budget may be up next for examination at Elon Musk’s Department of Governmental Efficiency.
China’s VLCC Market Insight
For those looking to bet on the tanker market, going long the TD3C FFAs presents an interesting opportunity to take the same stance as an informed market player like PetroChina–but at a discounted entry price.
Seasonality and Very Large Crude Carriers (Q2 2024)
While AI dominates many companies’ earnings report discussions, seasonality is the leading profit-driving topic for publicly listed VLCC players.
Charter Rates for Very Large Crude Carriers
In today’s broad bull market for shipping, most segments are at cyclically high levels, so it’s difficult to identify attractive entry points to invest. A needle in the haystack: VLCC charter rates.
Shipping vs. Hedge Funds: Net Asset Values
Publicly-listed ship owners often trade at a discount to their net asset value (“NAV”): the cash amount a company would net if it were to sell all of its assets and use the proceeds to pay off all of its liabilities.
Shipping’s Quintessential Investing Strategy
Shipping’s quintessential investing strategy: buy at the trough and sell at the peak of a cycle. But what do you do if nothing is trading at or near a trough? This question vexes shipping-focused investors today.
ADNOC Group Acquires Navig8 Group
Navig8 has achieved one of the largest cash sales of a tanker business (eclipsing even Songa Shipholding's sale to Camillo Eitzen for $1.3 billion in 2006) while ADNOC gains a best-in-class commercial management company with a proven leadership team.
Jones Act M&A Activity: Saltchuk Takes Over Overseas Shipholding Group
Saltchuk's takeover of Overseas Shipholding Group, announced last week, continues the recent wave of M&A activity in the Jones Act tanker sector—the top three Jones Act tanker owners have changed less than 12 months.
Valuation differential: U.S.-built vs. Internationally-built MR Tankers
$2 billion: that's the valuation differential between the U.S.-built Jones Act MR tankers and similar internationally-built MR tankers.
Saltchuk Bids on Overseas Shipholding Group
Saltchuk, owner of 22% of Overseas Shipholding Group's shares, made an unsolicited bid on January 29 to acquire the remaining 78% of OSG shares at $6.25 per share.
Building vs. Purchasing Jones Act Suezmax Tanker
Jones Act tanker vessels aren’t sold often—especially on a charter-free basis—so it’s worth looking at the numbers behind Overseas Shipholding Group's recent purchase and planned reactivation of the 2004-built + Jones Act qualified Suezmax tanker called the Alaskan Frontier.