ESEA add charter coverage

News item is from several weeks back. Euroseas (ESEA) has a newbuild delivering in Feb 2024 and the company has secured a short-term TC for this vessel.

$17K daily for a newbuild vessel? I realize the first two 2800-TEU newbuilds were chartered at a different time (@ over $40K daily). But, given the container market developments in the Red Sea the last month or two, I would have expected a ripple effect to all container vessel sizes). If the charter was for a existing/older vessel, Iā€™d be okay with it. For a newbuild, less impressed.

ESEA shares flying high currently. But a few more newbuild charters at this latest rate will likely pull down the price.


Additional data-point- vessel financed via Sale & Leaseback.

That the vessel has financing is a plus. However, the initial charter rate is a concern, and puts pressure on the dividend payout. Depending on where the additional newbuilds get deployed, perhaps ETS helps the company (From my reading, ETS is mostly a pass-through fee. But charterers might still favir the EEDI designation)