Presentation

Golden Ocean owns and operates a fleet of dry bulk vessels, geared towards the larger sizes. The company was founded in 1996 and is based in Bermuda. Golden Ocean is dual-listed on the Oslo Stock Exchange and NASDAQ, with a market capitalization of USD 570m and net debt of USD 1.2bn as of Q2’20. The company is part of the Fredriksen Group of companies, and Hemen Holding is the majority shareholder with a 35% stake in the company.

The fleet consists of 78 vessels (of which 67 are owned with an average age of 6 years, and eleven are chartered in). Capesize vessels make up the majority of the owned fleet at 38, and 27 panamaxes and two supramax vessels make up the rest. The company is geared towards the spot market but has used the recent months’ uptick in dry bulk markets to cover part of the remaining vessel days in 2020 at decent rates (38% of capesize days at USD 18,800/day and 56% of panama days at USD 14,900/day).

Golden Ocean spent Q2 installing the final eight scrubbers of the 23 it had planned, and as such have limited capital requirements going forward. The company continues to prioritize dividend distributions before fleet growth and its gearing towards the spot market makes Golden Ocean a well-suited vehicle to play the largest segment of the dry bulk market. The share is currently trading at P/NAV 0.79x, still below its closest peer and historical average.