GE Shipping Acquires LR2 Tanker to Expand Fleet

Key Highlights • Contracted to acquire a secondhand Long Range 2 (LR2) tanker • Vessel capacity of approximately 110,000 DWT • Tanker was built in 2015 • Expected to join the fleet in Q2 FY27 • Acquisition will be funded entirely through internal accruals Fleet Update • Post-acquisition, GE Shipping's owned fleet will increase to 39 vessels • Current fleet comprises: 24 tankers 15 dry bulk carriers • Total fleet capacity stands at 3.19 million DWT • Fleet utilization is currently near 100% What It Means • Expands earning capacity in the tanker segment • Reflects management's confidence in shipping market fundamentals • Internal funding avoids additional leverage and preserves balance sheet strength • Supports long-term fleet modernization and growth strategy Learning Outcome For shipping companies, fleet expansion during periods of high utilization can enhance revenue potential and improve operating leverage, provided freight market conditions remain supportive. $GESHIP