Contships Logistics Corp has extended charters for two feeder vessels with CMA CGM and will slash its secured bank debt by over US$100 million this month, reports Denmark's Shipping Telegraph.

The Greek-owned firm agreed to renew charters for the 1,256-TEU Contship Ace and the 1,072-TEU Contship Zen for 21 to 24 months. Daily gross rates are $16,500 and $15,500, respectively. The deal is expected to add $22 million to Contships' revenue backlog, raising it to $209 million as of October 1.

Owner Nikolas Pateras said the company will voluntarily prepay $102 million across loan facilities with five Greek banks, reducing secured bank debt from $116.5 million to $14.5 million. Unsecured bonds due 2030 will remain at $175 million, while the cash balance will be around $101.6 million, including proceeds from the sale of Contship Ten.

Mr Pateras, chairman and CEO, said the move will lower 2026 principal repayments by $29.5 million and cut interest costs by $4.2 million. He added that robust feeder markets and strong free cash flow support the firm's strategy to reinforce its balance sheet and pursue fleet expansion.