Posted March 19, 2020
Yangzijiang Shipbuilding (Holdings) Ltd, one of the largest private shipbuilders in China, has inked a shipbuilding contract with Tiger Group for up to 10 vessels worth a total of USD 1.15 billion.
Two of these dual-fuel 14,000 TEU containerships are firm orders and eight are options. Each vessel has a contract value of USD 115 million.
The shipbuilder said that the vessels are scheduled to be delivered from mid-2022.
The contracts will enable the yard to keep its facilities at a healthy utilization rate and have a stable revenue stream for at least the next 2 years, the company said. The deal is one of the largest orders in contract value in Yangzijiang’s history.
“We appreciate our customer Tiger Group’s trust and support with such a sizable order with Yangzijiang at a challenging time for both the industry and the world as it tackles the coronavirus outbreak,” Ren Letian, Chief Executive Officer of Yangzijiang Shipbuilding, said commenting on the order.
“One of the key owners of Tiger Group is an industry veteran who used to be a senior executive of a long-time customer of Yangzijiang, and these orders showed the customer’s deep trust in Yangzijiang in its vessel quality, efficiency, delivery, and our team.
“These new orders mark an encouraging start for Yangzijiang for 2020 amid the coronavirus outbreak, which now has been labeled a pandemic; we will prepare for the worst but hope for the best.”