On July 29, COSCO SHIPPING Development announced in both Shanghai and Hong Kong that the company would further deepen the synergy of industry and finance and enhance its value discovery and value creation capabilities by investing in the construction of 10 bulk carriers and 4 asphalt carriers for long-term leasing, while also conducting a sale-and-leaseback transaction for 1 LNG carrier. This marks another remarkable achievement for COSCO SHIPPING Development in the field of industry-finance integration, following the successful delivery of 42 bulk carrier construction and leasing projects last year.
01 Bulk Carrier Industry-Finance Project
The company's wholly-owned subsidiary will invest in the construction of ten 210,000 DWT methanol and ammonia-ready Newcastlemax bulk carriers. Among these, four vessels will be built by Qingdao Beihai Shipbuilding Co., Ltd., a subsidiary of China State Shipbuilding Corporation, and the remaining six by COSCO Shipping Heavy Industry (Zhoushan) Co., Ltd., a subsidiary of COSCO Shipping Heavy Industry Co., Ltd.. The total contract value for the shipbuilding orders exceeds RMB 5.2 billion. Upon delivery, these vessels will be chartered on a long-term basis to COSCO SHIPPING Bulk Co., Ltd. or its designated affiliated companies.
02 Asphalt Carrier Industry-Finance Project
The company's wholly-owned subsidiary will invest in the construction of four asphalt carriers, including two 9,000-ton dual-purpose asphalt carriers for domestic and international trade at Fujian Mawei Shipbuilding Co., Ltd., and two ice-class reinforced 9,000-ton asphalt carriers at CSSC Huangpu Wenchong Shipbuilding Company Limited. The total contract value for the shipbuilding orders exceeds RMB 800 million. Upon delivery, these vessels will be chartered on a long-term basis to a subsidiary of COSCO SHIPPING Specialized Carriers Co., Ltd..
03 LNG Carrier Sale-and-Leaseback Project
The company's wholly-owned subsidiary has entered into a sale and leaseback transaction for one 271,000 cubic meter QC-Max LNG carrier, with the purchase price of the vessel not exceeding USD 360.69 million.
Scaling Up | Elevating the Quality and Quantity of Asset Allocation
As a leader in the industrial ship leasing sector, COSCO SHIPPING Development is committed to "strengthening both internal and external capabilities" in the face of a ship leasing market rife with both challenges and opportunities. By leveraging the unique advantages of the Group's full industry chain synergy, comprehensive ship lifecycle management and operational capabilities, as well as diversified and multi-channel financing capabilities, it continuously advances the robust growth of its ship leasing business.
Business Expansion | Enhancing the Diversity of Vessel Types
By establishing a multi-dimensional vessel portfolio, COSCO SHIPPING Development provides customers with versatile vessel solutions for diverse scenarios. It has successfully expanded into bareboat chartering of asphalt carriers, closely aligning with market demand and pioneering the layout in the specialized liquid cargo transport vessel sector. By deploying advanced and highly versatile high-quality assets, the company has strengthened the underlying asset quality of its ship leasing business. Additionally, It has executed LNG carrier sale-and-leaseback projects, further accumulating operational expertise in specialized vessel types, enhancing service capabilities, and enriching the asset portfolio of its industry-finance platform. These efforts have supported the fleet transformation and upgrading of companies within the industrial chain.
Financial Foundation | Driving Sustainable Value Creation
By capitalizing on the synergy between industry and finance, COSCO SHIPPING Development invests in high-quality fleet with modern designs, eco-friendly features, reasonable configurations, and strong versatility. This approach enriches its vessel portfolio, expands innovative models of industrial-financial cooperation, and delivers stable long-term income and cash flow, supporting sustainable and steady value creation. Meanwhile, the company collaborates with industry chain companies to establish RMB application scenarios in "shipbuilding, chartering and shipping," deepening the use of RMB in international shipping and creating financing cost advantages to further enhance market competitiveness.
Green Empowerment | Advancing ESG Practices
Amid the wave of green and low-carbon transformation in the shipping market, the company has seized the opportunity to upgrade and optimize fleets. It has strategically invested in methanol and ammonia-ready bulk carriers, achieving a balance between operational efficiency and environmental sustainability while enhancing asset value throughout their lifecycle. With its positioning as a professional industrial ship leasing firm and the advantage of industry-finance synergy, the company is deeply engaged in advancing the green development of the shipping industry.
Navigating the evolving landscape of the shipping industry, the company will continue to deepen the integration of industry and finance, building a strong brand in this space. By focusing on the green and intelligent transformation of the shipping sector, it will consistently unleash growth momentum and accelerate progress toward its goal of becoming a value-driven industrial-financial investor and an innovative industrial-financial service provider.
