Zim charters 13 container vessels

Eli Glickman Photo: Zim PR
Eli Glickman Photo: Zim PR

The Israeli shipping company is paying $870 million to charter five secondhand vessels and eight new vessels for about five years.

Zim Integrated Shipping Services Ltd. (NYSE: ZIM) announced today a new charter agreement with Navios Maritime Partners L.P. Under the terms of the agreement, Zim will charter 13 container vessels comprising five secondhand vessels and eight newly built vessels for total charter hire consideration of approximately $870 million.

The five secondhand vessels which range from 3,500-4,360 TEUs and are expected to be delivered in the first and second quarters of 2022, will be deployed across Zim's global network. The eight 5,300 TEU wide beam new vessels are scheduled to be delivered during the third quarter of 2023 through the fourth quarter of 2024. They will be deployed in trades between Asia and Africa. The charter duration of the secondhand vessels is up to 4.5 years, while the charter duration of the new vessels is up to 5.3 years.

Zim president and CEO Eli Glickman said, "With this latest chartering transaction, we continue to execute on our strategy of chartering-in highly versatile vessels to best serve our customers and meet significant and sustained demand across our global network. This transaction enhances our position as a global-niche operator, contributing immediate much needed tonnage in required sizes, as well as securing additional high-quality and cost-effective capacity to meet growing demand in the future. Looking ahead, we expect to continue to capitalize on opportunities to further strengthen our commercial prospects and support our operational agility, while maintaining our prudent capital allocation strategy to maximize shareholder value."

Published by Globes, Israel business news - en.globes.co.il - on February 10, 2022.

© Copyright of Globes Publisher Itonut (1983) Ltd., 2022.

Eli Glickman Photo: Zim PR
Eli Glickman Photo: Zim PR
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