Tokyo, Japan – September 12, 2023 – According to sources, aiming to capitalize on the thriving chemical tanker industry, Mitsui OSK Lines (MOL), Japan’s leading shipowner, has announced a monumental $400 million all-cash acquisition of Fairfield Chemical Carriers (FCC), a subsidiary of Fairfield-Maxwell Ltd. This bold investment is set to strengthen MOL’s foothold in the sector and is indicative of their proactive approach towards growth opportunities.
Fairfield Chemical Carriers, headquartered in New York and established in 1996, boasts a fleet of 36 vessels. These modern carriers have an impressively low average age of just 4.69 years, collectively amassing a substantial 791,166 deadweight tons (dwt). This acquisition will significantly bolster MOL’s already impressive portfolio, bringing the total fleet size of MOL Chemical Tankers, a subsidiary, to an impressive 121 vessels.
MOL’s decision to enter this venture comes as the global chemical tanker market shows promising signs of expansion. A recent report by New York-based Research Nester predicts a compound annual growth rate of approximately 5% for the industry between 2023 and 2035. This growth is projected to drive the market’s total revenue from $31 billion in 2022 to a staggering $45 billion by the close of 2035. A key driver of this remarkable growth is the surging demand for vegetable oils, creating lucrative opportunities for companies like MOL.
Speaking about the acquisition, MOL emphasized its confidence in the chemical tanker business, identifying it as a sector with robust growth prospects. Their strategic investment in FCC underscores their commitment to capitalizing on this potential growth and their determination to play a prominent role in shaping the industry’s future.
As the transaction progresses, industry experts and stakeholders will undoubtedly keep a keen eye on MOL’s expansion in the chemical tanker sector, which promises to be one of the defining moves in the global shipping industry for 2023.
Sources: Splash247, Marine Link, Manila Post