Gearbulk and Grieg Star today announced th[ds_preview]eir intention to enter into a joint venture to establish a leading dry bulk shipping company.
The joint venture (JV) will combine the companies’ expertise to operate the combined fleet of more than 130 bulk vessels. The JV will be jointly controlled by Gearbulk and Grieg Star, with Gearbulk owning 65% and Grieg Star owning 35%. The Board of Directors will be composed of 5 members; 3 appointed by Gearbulk and 2 appointed by Grieg Star.
»The combined number of vessels and trades will make it easier for our customers
to find services that fit their needs«
Kristian Jebsen, Chairman/CEO of Gearbulk
Chair of the Board of Directors will be Kristian Jebsen, with Grieg Star holding the vice chair. The name of the joint venture is yet to be decided, but it will be established as an independent Norwegian company with headquarters in Bergen (Norway). The Chief Executive Officer will be Rune Birkeland, and the Chief Commercial Officer will be Arthur English.
Subject to completion of final agreements, corporate authorizations and relevant regulatory approvals having been obtained, the JV is expected to be fully operational through the first half of 2017.
»We see our two operations as complementary, making this joint venture a natural next step for our companies«
Camilla Grieg, CEO of Grieg Star
The two parties will retain their independent technical ship management and ownership in the vessels. Further, the scope of the Joint Venture excludes activities and vessels operated by Gearbulk in association with other third parties, as well as terminal business, transshipment activities, operation of liquid pitch tankers and caustic bulk vessels.
Gearbulk, established in 1968, operates between 85 and 90 open hatch and conventional bulk vessel from 13 offices around the world. Grieg Star, part of the Grieg Group founded in 1961, will add 45 bulk vessels to the joint fleet.
