Mitsubishi Corporation (MC) is pleased to announce the final close of MC Seamax Shipping Opportunities Fund, L.P. (the “Fund”). The private equity fund, which is managed by MC-Seamax Management Limited, a joint venture between MC Asset Management Holdings, LLC, a 100% subsidiary of MC, and Seamax Partners LLC*1, is focused on investments in the container shipping market.
Seamax Partners is the manager of MC-Seamax Management Limited. The Fund has closed with total capital commitments*2 of USD 300 million from institutional investors in North America, Europe and Japan, including MC’s commitment of USD 50 million.
The Fund aims to generate a stable income through the acquisition and leasing of container vessels to major liners. It currently has a portfolio of six container vessels with a total carrying capacity of over 45,000 TEU*3 on time charters (leases) to the world’s leading liner companies.
The container shipping market experienced an oversupply of orders prior to the global financial crisis. This, coupled with the economic slowdown that followed, resulted in vessel values and charter rates marking historically low levels. Pressures continue to be felt due to deliveries of large vessels, but the container shipping market is expected to recover as demand increases globally. The Fund will continue its deployment of capital in an effort to acquire prime assets.
Leveraging its deep industrial knowledge, MC will continue to promote its asset management business focused on real assets through its group companies, with the aim of providing unique investment opportunities to institutional investors around the world.
*1 Seamax Partners LLC
Located in Connecticut, USA, Seamax Partners was established by Cao Deambrosio and Ron Petrunoff to make shipping related investments.
*2 Capital commitment
Capital commitment refers to the amount of capital an investor will contribute as vessels are purchased by the Fund.
TEU stands for Twenty-Foot Equivalent Unit, and is used to measure a ship’s cargo carrying capacity. One TEU is equivalent to one standard shipping container, which is typically 20 feet long and eight feet tall.