Teacherman1 (48.55)

They are off and running - DCIX

January 10, 2012 – Comments (3) | RELATED TICKERS: DCIX

Diana Containerships just announced the purchase of two more vessels, now brining their total up to nine.

These come with two year charters at $24,750 per day, and are expected to increase revenue by about $16.75M per year.

They will be taking delivery in the 1st quarter.

This is in addition to the two previously announced vessel purchases that will be delivered Jan/Feb, which come with three year charters and annual revenue of just over $15M.

Here is a link to the Globewire news release on Yahoo.

http://finance.yahoo.com/news/Diana-Containerships-Inc-pz-2271277433.html?x=0

This was a good, solid company with a book value of between $8.5 and $9 per share prior to these 4 new vessels, so even though it was up over 6%, to around $6.25 a short time ago, there is still plenty of room to run for anyone who does not yet have a position.

I realize that there are many investors who stay as far away from the shipping sector as they possibly can, but you owe it to yourself to at least take a look at this one.

I am not going to go into detail but you can get some information from several previously posted blogs on them.

While the shipping business is always subject to ups and downs, this one is solid for at least the next 12 to 18 months, and likely for the next 2 to 3 years.

We will have to wait for more information to see exactly how they structured these purchases (cash/debt), but at the end of the 3rd quarter they had over $48M in cash, five unencumbered vessels, and virtually no debt.

They also paid a $0.15 quarterly dividend.

I think this one is worth your time to take a look at.

JMO and worth exactly what I am charging for it.