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KBRA Releases a Report on the Shipping IndustryKroll Bond Rating Agency (KBRA) releases a new report: Shipping Industry Continues to Look for Alternative Sources of Capital Amidst Consolidation. Over the last few years, the shipping industry has seen an increasing number of reorganizations and mergers in an attempt to rectify years of overbuild. Across most sectors in the industry, vessel supply has exceeded demand, prompted by affordable financing in a low interest rate environment. Bloated fleet sizes have driven down hire rates and reduced utilization levels, resulting in lower revenues. Consolidation should lead to stronger surviving participants in the sector. Recently announced merger agreement, such as the one between Diamond S Shipping and Capital Product Partners L.P., could ultimately provide surviving firms with better access to debt and equity markets. In the meantime, alternatie sources of funding, including the private placement market and private credit funds, are likely to be increasingly popular. CONNECT WITH KBRA
Twitter About KBRA and KBRA Europe KBRA is a full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus, is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider, and is a certified Credit Rating Agency (CRA) by the European Securities and Markets Authority (ESMA). Kroll Bond Rating Agency Europe Limited is registered with ESMA as a CRA. View source version on businesswire.com: https://www.businesswire.com/news/home/20181217005808/en/ |
