Benzinga | Sep 27, 2021 08:03AM EDT

Seaspan Announces Newbuild Order For 10 7,000 TEU Containerships; Deliveries Anticipated To Begin In Q2 And Through To Q4 Of 2024

Seaspan Corporation ("Seaspan"), a wholly owned subsidiary of Atlas Corp. ("Atlas") (NYSE:ATCO), today announced that it has entered into an agreement with a major shipyard for ten 7,000 TEU modern newbuild containerships (the "Vessels"). The Vessels, which are scrubber-fitted, are anticipated to begin deliveries in the second quarter and through to the fourth quarter of 2024. Upon completion, the Vessels will enter long-term charters with a leading global liner customer. Seaspan expects the Vessels to generate $1.4 billion of gross contracted cash flows over their minimum terms.

Bing Chen, Chairman, President and CEO of Seaspan, commented, "This transaction further highlights Seaspan's unmatched platform and competitive solutions that meet our customers' needs. With our previously announced order of fifteen 7,000 TEU dual fuel vessels, this newbuild order is further evidence of the deep customer demand for this vessel size, which is uniquely suited to replace the global fleet's aging cohort of 4,000 to 9,000 TEU vessels."

The Vessels are anticipated to be financed from additional borrowings as well as cash on hand. With the addition of these vessels Seaspan will continue to expand its fleet within core strategic size segments. Since December 2020 and including this announcement, Seaspan has announced 70 newbuild orders.

Vessel Class Newbuilds Total TEU

7,000 TEU LNG 15 105,000

7,000 TEU 10 70,000

12,000 TEU 6 72,000

12,200 TEU 5 61,000

15,000 TEU 16 240,000

15,000 TEU LNG 10 150,000

15,500 TEU 6 93,000

24,000 TEU 2 48,000

Total 70 839,000