Eitzen eyes IPO

Norway’s Camillo Eitzen & Co (CECO) has revealed it is considering listing its dry bulk operations as part of an ongoing restructuring of the group.

Eitzen Bulk, which has been one of the steadiest performers during a tough time for the holding company, could be floated on the Nasdaq OMX exchange in Copenhagen, CECO said.

It has also informed directors at subsidiary D/S Orion that the internal shake-up could also affect their company, which was bought by CECO in 2007 after it sold the last of its ships.

CECO added: “An announcement will be made in due course as soon as the outcome of these deliberations has been determined.”

Eitzen Bulk receives 80% of its income from long-term contracts. The group controls up to 70 vessels, but owns only two. There are 17 newbuildings on order however.

The main segment is handymaxes, supported primarily by panamaxes.

CECO boss Peter Knudsen said earlier this month: "I dare to say bulk activities are where we see some possibility to expand.

"We have a good operating model and we have a good name in that market and in our relationships with cargo owners. That is an area that will give us some encouragement."

Knudsen was not immediately available on Friday.

Orion was bought for $8m and had $9.16m of assets at the time. In the first quarter of 2009, it had no revenues and lost $242,000.

It sold its last remaining vessel, the 645-lane-metre ro-ro Lisbeth C (built 1993), to Arrow Seismic of Norway for around $6.75m in January 2007.

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