Valuations

Compass Maritime Services has an extensive record of appraising vessels and shipping assets on behalf of ship-owners and operators, insurance companies, attorneys and financial institutions (including commercial lenders, equity investors, leasing companies, etc). Our valuations have been utilized during originations but also extensively for the purposes of monitoring shipping portfolios.

Compass Maritime's domestic and worldwide market network and access to information is just one of the qualifications in providing valuations. Compass is one of the ten worldwide panel members on the Baltic Exchange Sale & Purchase Assessment Panel (BSPA) and one of six panel members of the Baltic Exchange Demolition Assessment Panel (BDA). Our weekly data is included in the calculation of the respective indices.

We have provided valuations that were utilized in the prospectuses for the Initial Public Offerings (IPO) in the stock exchanges in the United States and overseas, annual reports of publicly traded companies, in the issuing of equity and debt (bonds), including valuations based on the Pfandbrief Act in Germany.

Most of our appraisals are standard desktop valuations. Some clients require a physical inspection of the vessel. In these cases, we engage the services of qualified marine surveyors and incorporate the findings of their inspection report with our commercial data to arrive at a value.

To obtain a valuation, please contact valuations@compassmar.com

Compass provides the following types of vessel valuations:

Market approach (basis prompt, charterfree delivery)

Income approach. Our income approach valuation, upon a signed mandate, can entail detailed financial modeling on the calculation of future vessel earnings, calculation of discount rate & Weighted Average Cost of Capital (WACC) - even in cases that the interest expense is tied to LIBOR rates, and modeling on vessel residual values including statistical and VAR analysis.

Replacement cost method

Discounted Cash Flow Analysis (DCF)