In a significant development in the shipping industry, Top Ships Inc. and Rubico Inc. have agreed to construct ten medium-range (MR) tankers, in a deal that incorporates Chinese financing and long-term charter agreements. The announcement revealed that Top Ships will acquire 100% of the shares in nine special purpose vehicles (SPVs) associated with contracts for these tankers, which have a capacity of 47,499 deadweight tons (dwt). Construction is slated to take place at the Guangzhou Shipyard International in China, with deliveries expected between 2028 and 2029.

The financial aspect of the agreement is notable, with the total cost of purchasing shares in the SPVs amounting to approximately $41 million. Due to the transaction being categorized as a related party deal, it underwent a rigorous approval process, which included a special committee of independent board members and insights from an independent financial advisor. This structured approach underscores the transparency and governance standards that Top Ships aims to uphold.

Furthermore, the SPVs are nearing completion of leasing agreements with two prominent Chinese leasing companies, one of which is ABC Financial Leasing Co., Ltd. This step not only solidifies the financial backing for the construction but also highlights the growing collaboration between Greek shipping interests and Chinese financing solutions. The strategic shift towards bolstering fleet capabilities through new constructions may position Top Ships for more competitive market leverage in the foreseeable future.