Sweden-based NovaAlgoma Short Sea Carriers (NASC) and Germany’s Peter Döhle Schiffahrts-KG (PDS) have decided to collaborate on the multi-purpose project vessel (MPP) and 13,500 to 15,000 mini-grabber dry-bulk markets.
On September 26, the companies unveiled the DNA Shipping, a commercial agreement to pursue consolidation and growth within the two markets.
The MPP vessels will be managed by PDS’s existing commercial management office located in Hamburg, Germany, while the bulkers will be managed from the NASC commercial office in Lugano, Switzerland. The joint venture partners’ other offices in Rotterdam, Miami, Houston, and Dubai are also expected to produce cargoes for the pool.
While the business will be managed as two separate commercial fleets, the partners expect to exploit cargo synergies that exist across the MPP and bulker segments and to benefit from the shared best practices of the two companies. The joint venture will also reach out to owners of vessels in the MPP and mini-bulker markets who are in need of commercial management with the objective of expanding the fleet.
The parties expect the joint venture to begin operation in October. It will comprise 26 vessels, including 13 MPP vessels and 13 mini-bulkers. NASC will contribute 12 vessels to the pools and PDS will contribute 14.
“We believe the creation of this new agreement is an exciting first step in bringing consolidation to the fragmented MPP and mini-bulker markets,” said Ken Bloch Peter DnovaSoerensen, Executive Chairman of NASC.
The new entity will result in the creation of the largest mini-grabber pool in the world, according to NASC.