Euroseas Ltd. Announces Two-Year Time Charter Contract For Its Fuel Efficient 2,800 teu Feeder Containership Newbuilding, M/V Leonidas Z, Commencing upon Its Delivery, At A Gross Daily Rate Of $20,000
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Euroseas Ltd. (NASDAQ:ESEA) has secured a two-year time charter contract for its new 2,800 teu feeder containership, M/V LEONIDAS Z, at a daily rate of $20,000. The charter, with one of the largest liner companies, will commence upon the vessel's delivery around late April or early May 2024. This deal is expected to generate approximately $9 million in EBITDA for the minimum contracted period and increases Euroseas' 2024 charter coverage to about 74%.
February 28, 2024 | 9:38 pm
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Euroseas Ltd. has entered into a profitable charter contract for its new 2,800 teu containership, expected to significantly contribute to its EBITDA and increase its 2024 charter coverage.
The announcement of a new charter contract at a daily rate of $20,000 for the M/V LEONIDAS Z is a positive development for Euroseas Ltd. It not only ensures a steady revenue stream for the next two years but also reflects the company's ability to capitalize on market strengths. The expected contribution of approximately $9 million to EBITDA and the increase in 2024 charter coverage to about 74% are significant indicators of financial health and operational efficiency, likely leading to a positive short-term impact on the stock price.
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IMPORTANCE 90
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