Euroseas Ltd., a leading container shipping company and listed on the NASDAQ exchange under the symbol ESEA, has announced a successful renewal of its charter contract for the intermediate container vessel M/V Rena P.
Details of the charter contract
This renewal will be for a minimum term of 35 months, with the option to extend it to 37 months, at a gross daily rate of USD 35,500 . This agreement begins on August 21, 2025, and continues the current charter with a top-tier operator.
[post_relacionado]The renewal is a direct continuation of the current contract, demonstrating the mutual trust between Euroseas Ltd. and the operator, who has chosen to maintain the M/V Rena P in its fleet. The contract guarantees stable revenues for a long period and takes advantage of current market conditions, in which charterers are seeking mid-size vessels with 4,250 TEU capacity due to the high demand for container shipping.
Euroseas President and CEO Aristides Pittas expressed his satisfaction with this strategic agreement, highlighting the resilience of the chartering market despite geopolitical fluctuations and the shortage of available vessels. According to Pittas, this contract clearly reflects the strong demand for this type of tonnage, which remains highly valued by major liner operators.
The spin-off of EuroHoldings
In addition to the charter contract renewal, Euroseas has successfully completed the spin-off of three of its subsidiaries, transferring key assets, including the vessels M/V Aegean Express and M/V Joanna, as well as the proceeds from the sale of M/V Diamantis P, to the new entity EuroHoldings Ltd. (EHLD).
Starting March 18, 2025, EuroHoldings will operate as an independent company, with the intention of expanding its fleet by acquiring older vessels in the container shipping sector and other areas of maritime transport.
Euroseas, for its part, will maintain a robust fleet of 22 vessels, with a total capacity of 67,494 TEU , and plans significant expansion with the delivery of two new intermediate container ships in 2027, which will increase its capacity to 76,094 TEU.
Financial projection and future strategies
With the recent expansion of its charter, Euroseas has strengthened its revenue coverage for the coming years, reaching 88% by 2025 and 54% by 2026 , positioning the company to confidently face the challenges of the global market. Furthermore, the spin-off of EuroHoldings opens up new opportunities for the company, allowing it to focus on growing its fleet and exploring new investments in the shipping sector.
Euroseas Ltd., under the leadership of Aristides Pittas, continues to demonstrate its ability to adapt to a competitive and ever-changing market, consolidating its position as a key player in the containerized shipping industry.
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Source and photo: Euroseas