Jinhui Shipping and Transportation has secured up to $70m in leaseback financing for four ultramax newbuildings, the company announced in two transactions within a week, according to Splash247. The financing provides liquidity for fleet renewal as the Oslo-listed owner phases out older supramax tonnage.
Financing Details
The second deal, reported on 30 July 2026, covers two 63,500 dwt ultramax vessels being built at Jiangsu Hantong Ship Heavy Industry. Jinhui will sell the ships, to be named Jin Han and Jin Ming, to two vehicles owned by Jiangsu Financial Leasing before chartering them back for up to seven years, Splash247 reported. Financing is capped at $17m per vessel or 60% of assessed market value, whichever is lower. Jinhui can exercise purchase options after the second anniversary of delivery and must buy each ship back for $5m if options are not exercised before the charters expire. The vessels were ordered for $34m each in June 2024 and are scheduled for delivery in December 2026 and November 2027.
The first deal came one day earlier, securing up to $36m against two 64,500 dwt newbuildings — Jin Yao and Jin Fu — being built at Jiangmen Nanyang Ship Engineering with delivery in early 2028, Splash247 reported.
| Vessel | Yard | DWT | Order Date | Delivery | Financing Amount |
|---|---|---|---|---|---|
| Jin Han | Jiangsu Hantong | 63,500 | June 2024 | Dec 2026 | Up to $17m |
| Jin Ming | Jiangsu Hantong | 63,500 | June 2024 | Nov 2027 | Up to $17m |
| Jin Yao | Jiangmen Nanyang | 64,500 | Not specified | Early 2028 | Up to $36m (package) |
| Jin Fu | Jiangmen Nanyang | 64,500 | Not specified | Early 2028 | Included above |
Fleet Renewal Strategy
The two packages provide Jinhui with up to $70m of financing across four ultramax newbuildings as the company continues to renew its fleet and dispose of older supramax tonnage, according to Splash247. The ultramax class (typically 60,000-64,999 dwt) is widely used in minor bulk and grain trades, offering greater efficiency than smaller supramax vessels.
Operational Implications
For freight operators and charterers, the addition of four modern ultramax bulkers by a single owner increases available capacity on dry bulk routes, particularly from China where the vessels are being built. However, the financing structure — sale-and-leaseback with long-term charter commitments — means Jinhui retains operational control while accessing capital. Shippers should monitor the delivery timeline: the first vessel arrives in December 2026, with the last due in early 2028. The older supramax tonnage being disposed of may reduce supply of those smaller ships, potentially tightening that segment.
Watch List
- Delivery dates for Jin Han (Dec 2026), Jin Ming (Nov 2027), and the Jiangmen Nanyang pair (early 2028)
- Further fleet renewal transactions by Jinhui, including potential additional newbuild orders or secondhand sales
- Market conditions for ultramax charter rates as these vessels enter service
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