Global Ship Lease Shares Climb 10% After Charter Agreements

By Kathryn Hardison

Shares of Global Ship Lease Inc. were up 10% at $18.53 Tuesday after the containership company said it entered into new multi-year charters with Hapag-Lloyd AG for six ECO 6,900 TEU ships.

The new charters are each for a period of five years, followed by two 12-month periods at the option of the charterer. The charters are scheduled to commence between late 2023 and late 2024, the company said.

Global Ship Lease said it expects to generate about $13.1 million a ship each year in adjusted earnings before interest, taxes, depreciation and amortization. Total adjusted Ebitda is estimated to be $393 million for the six ships over the length of the agreements.

The company's shares are 19% lower for the year.

Write to Kathryn Hardison at [e-mail]

(END) Dow Jones Newswires

08-30-22 1248ET