Taylor Maritime, which operates on the London Stock Exchange, has confirmed the sale of its last cargo ship for $15.1 million. This action brings the company's fleet sale program to 56 vessels, with total anticipated proceeds nearing approximately $933 million.
End of a Three-Year Period
The company, led by Ed Buttery, announced that this final sale will conclude in December, marking the end of a three-year sales period that has gradually dismantled one of the largest dry cargo fleets. Since the beginning of 2023, Taylor Maritime has sold 55 vessels, with gross proceeds from these transactions reaching $917.7 million.
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Future Plans and Return on Investment
This action follows the completion of three Handysize vessel sales announced earlier this month, which generated $48.6 million in proceeds. These transactions included the purchase of one vessel as well as a majority stake in a company that owns two other Handysize vessels.
Although this agreement pertains to the last vessel owned by Taylor Maritime, another vessel is under a lease and purchase agreement that also has a purchase option. This contract expires in April 2027, and the company is evaluating the best way to exit this agreement.
The company anticipates that all shipping business operations will cease by the end of 2026 and is currently moving towards the final distribution to shareholders. Taylor Maritime has also confirmed a mandatory $45 million return on investment in November, bringing total returns to investors since the beginning of the year to $263.4 million. Another return is expected to be announced in December, dependent on the completion of the sale of remaining vessels.
The board then intends to propose plans to delist the company in London. Taylor Maritime, which was listed in May 2021, has increased its fleet to over 50 vessels through the acquisition of Grindrod Shipping and has since moved towards a broad asset sale program. The company officially adopted a management realization strategy in March of this year, emphasizing the sale of vessels and return of capital to shareholders.
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