Global Ship Lease extends CMA CGM time charters

The containership owner signed time charter extensions with CMA CGM for two 2,207-TEU vessels.    Containership owner Global Ship Lease, Inc. has signed time charter extensions with French ocean carrier CMA CGM for two 2,207-TEU vessels, the company said in a statement.
   The two containerships include the 2003-built Delmas Keta and the 2002-built Julie Delmas.
   The Delmas Keta sails of APM and CMA CGM’s jointly operated JPX/JSX service, which has a rotation of Yokohama, Tokyo, Omaezaki, Nagoya, Kobe, Singapore, Port Kelang and Yokohama, according to ocean carrier schedule and capacity database BlueWater Reporting.
   The Julie Delmas is deployed on CMA CGM’s Noura Express service, which sails between Khor Fakkan, Jebel Ali, Longoni, Mogadishu, Zanzibar, Port Victoria (Seychelles) and Khor Fakkan.
   The two vessels will be chartered for 12 months (plus or minus 45 days at charter’s option) at a fixed rate of $7,800 per vessel per day, commencing immediately upon completion of the current time charters, which was Sept. 11 for the Julie Delmas and will be Sept. 20 for the Delmas Keta.
   “These agreements are consistent with our strategy of operating our 18-vessel fleet on fixed-rate contracts and our track record of maintaining fleet-wide utilization near 100 percent, thus enabling us to benefit from a predictable and stable cashflow stream,” Global Ship Lease CEO Ian Webber said. “As of Aug. 31, 2017, our fleet has an average remaining charter term of 3.1 years, or 3.3 years weighted by TEU capacity, representing $530 million of contracted revenue.”
   Fifteen of Global Ship Lease’s vessels are currently fixed on time charters with CMA CGM, while the remaining three are fixed on time charters with Hong Kong-based liner carrier Orient Overseas Container Line.
   According to the company’s website, “Global Ship Lease was created through a $1 billion spin-off from CMA CGM…effected by a merger in August 2008 between the CMA CGM-owned entity and Marathon Acquisition Corp. (Marathon), a listed special purpose acquisition corporation (SPAC).” Marathon was established by Michael Gross, chairman and CEO of investment firms Solar Capital and Solar Senior Capital and a founder and former senior partner of private equity firm Apollo Management L.P., who serves as chairman of Global Ship Lease’s board of directors. Both Gross and CMA CGM retain significant shareholdings in Global Ship Lease.