Wallenius Wilhelmsen, one of the largest vehicle transportation companies in Norway, has expanded its fleet renewal program following the raising of $300 million in capital earlier this month. The company intends to add 12 new LNG dual-fuel vessels to its fleet.
Details of the Renewal Program
The group, which is listed on the Oslo Stock Exchange in Norway, released a new report on its shipbuilding program on Wednesday. This report comes three weeks after announcing a plan to add four large car carrier vessels with delivery scheduled for 2030. Additionally, an option to add eight more vessels has also been considered.
According to the previous proposal, optional vessels will be added seasonally starting in 2031, allowing the company’s overall renewal program to expand to 26 vessels including options by 2032.
Financing and Construction of New Vessels
On October 6, 2023, Wallenius Wilhelmsen completed a private placement worth 2.88 billion Norwegian kroner ($300 million) and issued 17.145 million shares at a price of 168 Norwegian kroner per share. The proceeds from this sale, along with financing through debt, will be allocated to the expanded shipbuilding program.
This expansion is based on a new series of Shaper-class vessels being built at China Merchants Jinling Shipyard, where 14 vessels have been contracted. These vessels include six units with a capacity of 9,300 car equivalent units (ceu) and eight larger vessels with a nominal capacity of 11,700 ceu.
Of these vessels, seven will have LNG dual-fuel engines, while the other seven will utilize methanol dual-fuel engines. The renewal program is designed to replace older vessels and support the long-term vehicle transportation needs of the company, which currently operates approximately 127 vessels on 15 global trade routes.
