Mpc Container Ships Asa · OSL:MPCC
Mpc Container Ships Asa — Investor Presentation (January 2018)
23 slides from Mpc Container Ships Asa's investor presentation, January 2018
Slide 1: Company Presentation
Company Presentation January 2018
Slide 2: Disclaimer
Disclaimer THIS PRESENTATION (THE “PRESENTATION”) HAS BEEN PREPARED BY MPC CONTAINER SHIPS AS (THE “COMPANY”) FOR INFORMATION PURPOSES ONLY AND DOES NOT CONSTITUTE AN OFFER TO SELL OR A SOLICITATION OF AN OFFER TO BUY ANY OF THE SECURITIES DESCRIBED HEREIN. TO THE BEST KNOWLEDGE OF THE COMPANY, ITS
Slide 3: Company Overview / Fleet Update / Market Opportunity / Appendix
COMPANY OVERVIEW FLEET UPDATE MARKET OPPORTUNITY APPENDIX
Slide 4: Introduction – Co-founder and Sponsor of MPC Container Ships AS
INTRODUCTION – CO-FOUNDER AND SPONSOR OF MPC CONTAINER SHIPS AS THE SPONSOR THE COMPANY Real Estate Shipping Infrastructure 100% owned 80% owned 50% owned 34 feeder 2 feeder 5 feeder containerships containerships containerships Fully regulated Asset & Investment Manager Ship owning company with an e
Slide 5: MPC Container Ships Established in April 2017
MPC CONTAINER SHIPS ESTABLISHED IN APRIL 2017 CAPITAL MARKET TIMELINE STRATEGY UPDATE Acquiring feeder containerships between 1,000 - April 2017 MPC Container Ships AS founded with an initial 3,000 TEU at distressed levels private placement (USD 100m) Focused strategy Market fundamentals offer a
Slide 6: Capital Market Profile
CAPITAL MARKET PROFILE SHARE PRICE AND VALUATION ANALYST COVERAGE Fearnley DNB Consensus 54.0 Target price (NOK) 65.00 64.00 64.50 +17% 52.0 share performance Recommendation Buy Buy Buy since inception1 Last update 30 Nov. 2017 08 Jan. 2018 - 50.0 48.0 TRADING INFORMATION 46.0 Ticker MPCC-ME 403 44.
Slide 7: Management Resources with Extensive Experience in Container Shipping
MANAGEMENT RESOURCES WITH EXTENSIVE EXPERIENCE IN CONTAINER SHIPPING HIGHLY EXPERIENCED BOARD OF DIRECTORS CORPORATE STRUCTURE MPC Container Managing director of MPC Holding Ships AS Dr. Axel Schroeder Founder of MPC Capital AG and CEO between 1999 and 2015 Resources for corporate management C
Slide 8: Fleet Update
COMPANY OVERVIEW FLEET UPDATE MARKET OPPORTUNITY APPENDIX
Slide 9: USD 350 Million Invested in 41 Feeder Container Vessels at Depressed Asset Values
USD 350 MILLION INVESTED IN 41 FEEDER CONTAINER VESSELS AT HISTORICALLY DEPRESSED ASSET VALUES CURRENT FLEET OF 41 VESSELS1 FLEET COMPOSITION – BY TEU CLUSTER in USD m Discount to new building parity 3 2 1000 gls Upside to historical average 2 1000 grd -44% 3 617 +74% 1300 gls 603 10 1300 grd 41 6 1
Slide 10: Chartering Exposure by Charterer and Trade
CHARTERING EXPOSURE BY CHARTERER AND TRADE FIXED REVENUE PER CHARTER1 CHARTER COVERAGE 5% 91% 5% Maersk Line Heung-A 5% 4% High Reefer Pool Seaboard 82% 19% USD 8% CMA CGM Other 72% 96m 22% 65% 73% 19% 15% 55% 43% GEOGRAPHICAL EXPOSURE (NUMBER OF VESSELS) 37% 33% 2 1 2 2 Intra-Asia Mediterranean 3 1
Slide 11: Lean Operational Set-up with Competitive G&A and Cash Break-even
LEAN OPERATIONAL SET-UP WITH HIGHLY COMPETITIVE G&A AND CASH BREAK-EVEN HISTORICAL TC RATES VS ESTIMATED CASH BREAK-EVEN INDICATIVE CASH FLOW @ VARIOUS TC RATES Estimated cash break-even rates Pro- 20 year NB USD/day Illustrative TC rate 2,750 TEU vessel (USD per day/vessel) Pro-forma1 (USD per day/
Slide 12: Market Opportunity
COMPANY OVERVIEW FLEET UPDATE MARKET OPPORTUNITY APPENDIX
Slide 13: Supply and Demand Balance Improving in the Whole Container Shipping Market
SUPPLY AND DEMAND BALANCE IMPROVING IN THE WHOLE CONTAINER SHIPPING MARKET DEMAND: TRADE DEVELOPMENT ORDERBOOK AT HISTORIC LOW mTEU mTEU % 250 Intra-Regional Orderbook Total Orderbook-to-Fleet Ratio (RH) North-South 5.0 40 200 Non-Mainlane 4.5 36 Mainlane 4.0 32 150 3.5 28 100 3.0 24 2.5 20 50 2.0 1
Slide 14: Even More Favorable Supply/Demand Dynamics for the Feeder Segment
EVEN MORE FAVORABLE SUPPLY/DEMAND DYNAMICS FOR THE FEEDER SEGMENT LIMITED ORDERING OF FEEDER TONNAGE AGEING FEEDER CONTAINER FLEET 86.6% 4% 3% Order book to fleet ratio (per teu cluster) 4% 1% 7% Vessels 14% 11% 2% 1-3k TEU 15% 23% > 15 years: 35% 20% 20% 48% 31% Avg. other segments: 18% 31% 25% 26%
Slide 15: Significant Upside Potential to Historical Asset Values
SIGNIFICANT UPSIDE POTENTIAL TO HISTORICAL ASSET VALUES HIGH UPSIDE POTENTIAL IN ASSET VALUES HIGH DISCOUNT TO NEWBUILDING PARITY USDm USD m Current vs: Upside 30 Current NB price 2,600 / 2,900 TEU 50 Avg last 20 years 102% 25 Avg last 15 years 108% 45 20 Avg last 10 years 65% 43 % NB parity 82% 45
Slide 16: Significant Upside Potential in Earnings
SIGNIFICANT UPSIDE POTENTIAL IN EARNINGS RATES NOT SUFFICIENT TO JUSTIFY NEWBUILDING CASH-ON-CASH YIELD POTENTIAL (2,750 TEU, 10Y OLD) USD/day 45,000 Current vs: Upside 35% 33% Avg last 20 years 71% 32% 40,000 Avg last 15 years 68% 30% 29% Avg last 10 years 9% 35,000 NB parity rate 58% 25% Unlevered
Slide 17: Appendix
COMPANY OVERVIEW FLEET UPDATE MARKET OPPORTUNITY APPENDIX
Slide 18: Key Market Considerations - Container Shipping
KEY MARKET CONSIDERATIONS - CONTAINER SHIPPING Container liners operate regularly scheduled services to transport container boxes of different kinds (TEU, FEU, reefer, etc.) between a series of ports Liners on average own 45% of their operating fleet and charter-in 55% on short to long-term time
Slide 19: Majority of Feeder Fleet Deployed on Intra-Regional Trades
MAJORITY OF FEEDER FLEET DEPLOYED ON INTRA-REGIONAL TRADES CONTAINER INDUSTRY TRENDS FEEDER DEPLOYMENT TRENDS Vessel sizes have significantly increased both on long-haul and Cascading between 2011 and 2016 has resulted in the share of feeder intermediate trade routes in recent years tonnage (1,0
Slide 20: Highly Experienced Maritime Service Providers
HIGHLY EXPERIENCED MARITIME SERVICE PROVIDERS HIGHLIGHTS MPC CAPITAL SHIPPING UNITS OF MPC CAPITAL Currently 159 maritime assets worth EUR 1.8bn under CORPORATE / ASSET MANAGEMENT management Asset management of more than 150 maritime assets, including Structuring of vessel investments with tra
Slide 21: Fleet List
FLEET LIST CURRENT FLEET OF 41 VESSELS No. Vessel Name TEU Cluster Built Price Stake 1 AS LAETITIA 1000 grd 2007 $4.8m 100% 2 AS LAGUNA 1000 grd 2008 $4.8m 100% 3 ANNIKA 1000 gls 2008 $8.0m 100% 4 ANTIGONI 1000 gls 2008 $8.0m 100% 5 AS FIONA 1300 gls 2003 $5.1m 100% 6 AS FRIDA 1300 gls 2003 $6.2m 10
Slide 22: Financials
FINANCIALS PROFIT AND LOSS BALANCE SHEET Q3/2017 YTD Equity & Assets Q2 2017 Q3 2017 Q2 2017 Q3 2017 Liabilities Charter revenues 8.2 Vessels 49.7 133.4 Equity 170.5 175.0 Commissions -0.3 Financial Long-term 16.1 16.5 0.0 96.4 Vessel voyage expenditures -1.3 Assets Liabilities Vessel operation expe
Slide 23: Contact
Contact MPC Container Ships AS Managing Director Constantin Baack E-mail: contact@mpc-container.com
MPC Container Ships — Investor Presentation (January 2018) on 6ix