COSTAMARE has confirmed that it intends to spin off its dry bulk shipping business, which currently spans about 90 vessels, with its own public listing.

The separation into two, standalone US-listed companies was expected to provide “compelling” benefits, said the company.

New York Stock Exchange-listed Costamare Inc will continue to focus on the container shipping sector, where it currently has a fleet of 68 boxships, and will also retain its Neptune Maritime Leasing financing subsidiary.

Newly-established Costamare Bulkers Holdings, which is also expected to be listed on the NYSE, will house the company’s owned fleet of bulkers, currently numbering 38 vessels ranging between handysize and capesize, as well as the Costamare Bulkers operating platform that is chartering in about 50, mainly larger bulkers.

The spin-off is expected to be accomplished through Costamare distributing all its shares in the new dry bulk holding company on a pro rata basis to existing Costamare shareholders.

The longtime containership owner dramatically diversified into dry bulk in 2021 with a spree of secondhand acquisitions, and the chartering platform made its debut just over two years ago.

The Greece-based owner said that it aimed to effect the spin-off “as soon as practicable” this year but that the action was subject to various conditions.

As the move is not dependent on a market offering, that is likely to refer mainly to completion of internal processes as well as regulatory approvals.

According to the statement, Costamare’s board believes that the split would “unlock the inherent value in the two companies” and provide pure-play investment opportunities for different investor bases.

Benefits would also include “improved financial flexibility”, allowing the management of the two companies to pursue distinct initiatives and better focus on sector-specific opportunities for growth and profitability.

Costamare said that no “definitive decision” had been finalised, nor could it give assurances about the terms or timing of the spin-off.

The company has retained Morgan Stanley as financial advisor for the transaction with Cravath, Swaine & Moore as legal counsel.