Workflow
Capital Product Partners L.P. Announces Approval of Corporate Conversion and Name Change as It Continues Its Strategic Pivot to The LNG and Energy Transition Business
Capital Product Partners L.P.Capital Product Partners L.P.(US:CPLP) Newsfilter·2024-08-02 10:50

Core Viewpoint - Capital Product Partners L.P. is transitioning to a corporation named "Capital Clean Energy Carriers Corp." (CCEC) to enhance corporate governance and focus on LNG and energy transition business [1][2][6] Company Transition - The conversion from a limited partnership to a corporation is expected to be completed by August 26, 2024, with shares trading under the new name and ticker symbol "CCEC" on Nasdaq [4] - Each common unit of CPLP will convert into one common share of CCEC, with the General Partner Units converting into 3,500,000 common shares [4][5] Strategic Pivot - The company is pivoting towards the transportation of natural gas, including LNG, and has entered into an Umbrella Agreement to acquire 11 newbuild LNG/C vessels, with five already operational and six expected to be delivered between Q1 2026 and Q1 2027 [2][3] - A total investment of $3.9 billion is planned for new vessels, including 10 high-specification gas carriers, to position the company as a leader in clean fuel transportation [2][3] Corporate Governance Changes - Following the conversion, the Board will consist of eight directors, with a majority being independent as per Nasdaq rules [4][5] - Capital Maritime and its affiliates will hold approximately 59.0% of the outstanding common shares and will have the right to nominate directors based on their ownership percentage [4][5] Current Fleet and Future Plans - The company currently operates 20 high-specification vessels, including 12 latest generation LNG carriers, and plans to acquire additional vessels to enhance its fleet [8] - Upon completion of the new vessel deliveries, the company expects to become the largest U.S.-listed LNG shipping company [3]