The Great Eastern Shipping Company (GE Shipping) signed a contract on October 23 to acquire a secondhand very large gas carrier (VLGC) with a capacity of approximately 82,000 cubic metres. The vessel, built in 2015, will be added to the fleet in the third quarter of FY27. The entire acquisition cost will be covered by internal accruals, the company disclosed in a stock exchange filing on Friday.
This isn't the only addition on the books. The company has also contracted to purchase two secondhand Kamsarmax dry bulk carriers, which are also slated for delivery in the third quarter of FY27. On top of that, GE Shipping has ordered a new-build Suezmax tanker, scheduled for delivery in the second half of FY29. The current owned fleet stands at 40 vessels—25 tankers and 15 dry bulk carriers—with a combined capacity of 3.24 million deadweight tonnes. The tanker segment includes five crude, 16 product, and four LPG carriers, while the dry bulk side comprises two Capesize, 10 Kamsarmax, one Ultramax, and two Supramax vessels.
Demand is tight. Management indicated that fleet capacity utilisation is hovering close to 100%, underscoring the need for expansion. While the market digested the expansion plans, GE Shipping shares closed at ₹1,496.90 on the NSE on Friday, down ₹21.70, or 1.43%. The stock's movement suggests traders are weighing the capital deployment against the near-term earnings impact, even though the buy-out is debt-free.
The strategic move to add high-capacity gas and dry bulk carriers positions the company to capture rising freight rates in these segments. With the VLGC and Kamsarmax vessels arriving in Q3 FY27, investors will be watching how the company leverages its fully-utilised existing fleet to maximize returns on these new assets before the Suezmax tanker arrives two years later.