Hormuz crisis complicates shipping deals as ‘wait and see’ mode prevails
- Owners would rather focus on harvesting profits than becoming bogged down and distracted with large-scale M&A
- Resolution of Hormuz crisis could change asset values and rates, incentivising parties to pause big transactions until there is greater clarity
- News flow continues to be highly unpredictable, which can affect pricing of public equity and debt offerings
There are times in shipping to focus on raking in profits, and there are times to focus on transformative transactions. The Hormuz crisis is the first category. In the short term, uncertainty is curtailing deal flow
