Economou swoops in for major position in Performance Shipping

 

Greek shipping mogul George Economou has picked up a major stake in fellow tanker owner Performance Shipping.

In a regulatory filing to the US Securities and Exchange Commission (SEC), Andreas Michalopoulos-led Performance Shipping said Economou’s investment vehicle, Sphinx, a subsidiary of Maryport Navigation, had acquired around 1.03m shares for $1.48m, corresponding to a 9.5% stake based on the company’s 10.91m shares outstanding. 

The Nasdaq-listed owner of eight aframax tankers and one LR2 under construction in China reported a second-quarter net profit of $18.4m on revenue of $31.5m against $3.9m for the same period in 2022. The company, whose fleet is estimated to be worth around $434m, regained compliance with the Nasdaq exchange in August after trading above $1 for 10 consecutive days and thus avoiding a reverse stock split.

The filing regarding Economou, who owns over 100 ships in the dry bulk, tanker and LNG segments, said he bought into Performance Shipping in the belief that the company’s shares are “undervalued and are an attractive investment”. The move, which comes at a bargain compared to Performance’s fleet worth, allows one of the largest Greek shipowners to discuss various aspects within the company, including the board composition, management, operations, strategic plans and future and he may also seek to explore increasing his ownership through open market purchases or buying from other stockholders.