Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

India’s Shipping Corp. to Buy Two Bulk Vessels as Prices Plunge

Don't Miss Out —
Follow us on:

March 11 (Bloomberg) -- Shipping Corp. of India Ltd., the nation’s largest sea-cargo carrier, will buy two second-hand supramax dry-bulk vessels by the end of the month as prices plunge amid a glut of new vessels.

“There are distress sales available in the market, and we want to take advantage,” Director Arun Kumar Gupta said yesterday by phone from Mumbai, where the company is based. He declined to comment on the price the shipping line will pay.

Shipping Corp. may also issue a tender for two used panamax ships next month and it will look to buy three 3,500-container vessels as well, Gupta said. The government-controlled company raised 11.6 billion rupees ($260 million) selling new shares last year to help pay for vessels as the nation’s 8 percent-plus economic growth stokes sea-cargo traffic.

The shipping line fell 0.2 percent to 109.25 rupee at 9:43 a.m. in Mumbai trading. It’s dropped 16 percent this year, compared with an 11 percent decline for the benchmark Sensex Index.

The company had planned to buy a total of 62 vessels in the five years to 2012. It has so far ordered 35 new ships and bought one second-hand, Gupta said.

To contact the reporter on this story: Karthikeyan Sundaram in New Delhi at kmeenakshisu@bloomberg.net

To contact the editor responsible for this story: Neil Denslow at ndenslow@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.