Capital Clean Energy Carriers Corp. (NASDAQ: CCEC), an international owner of ocean-going vessels, on Monday announced a conversion from a Marshall Islands limited partnership previously named “Capital Product Partners L.P.” to a Marshall Islands corporation and the adoption of a new corporate identity with a name change to “Capital Clean Energy Carriers Corp.”, as well as a Nasdaq stock market ticker to “CCEC” .
The conversion and the name change are key milestones in the company’s strategic pivot towards the transportation of various forms of natural gas to industrial customers, including liquefied natural gas (LNG) and new commodities emerging as a result of the energy transition, as initially announced in November 2023.
To achieve this strategic pivot, the company announced in November 2023 the acquisition of 11 newbuild LNG/C vessels (“Newbuild LNG/C Vessels”), of which five vessels are already on the water and the remaining six vessels are expected to be delivered between the first quarter of 2026 and the first quarter of 2027.
CCEC’s Commitment
In June 2024, the company also ordered 10 state-of-the-art, high-specification gas carriers, including four unique handy multi gas carriers that can carry liquid CO2. These vessels, along with the Newbuild LNG/C Vessels, collectively form the “Energy Transition Vessels”. This $3.9-billion investment, notable both in asset value and scope, demonstrates CCEC’s commitment to becoming a leading provider of transportation for LNG and other clean fuels.
Energy Transition Vessels
So far, CCEC has already made significant progress in a refocus of the business with 12 latest generation LNG/C vessels currently on the water, plus the disposal of seven legacy container vessels during the first half of 2024. Upon delivery of the remaining Energy Transition Vessels between the first quarter of 2026 and the third quarter of 2027, the company expects to become the largest U.S.-listed LNG shipping company, one offering industrial customers a full range of transportation solutions.
Institutional Investors
In commenting on the milestone development, Mr. Jerry Kalogiratos, CCEC’s Chief Executive Officer, underlined: “Today’s announcement, whilst symbolic, is an important step in the growth and evolution of the company. It builds upon our stated intention to become the only U.S. listed shipping company offering transportation for all gas types with an emphasis on the energy transition, as these vessels can move LPG, Ammonia, Butane, Propylene and Liquid CO2, adding to LNG, where we already have a presence.
“This conversion to a traditional corporate structure will enhance our corporate governance and is intended to position the company as a more attractive investment opportunity in the equity capital markets. We have structured the converted company in a manner that we believe will appeal to institutional investors, which we believe will further broaden our investor base and improve our trading liquidity,” he noted.