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Basis of Presentation and General Information
 12 Months Ended
Dec. 31, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Presentation and General Information

1. Basis of Presentation and General Information

Capital Product Partners, L.P. was formed on January 16, 2007, under the laws of the Marshall Islands. Capital Product Partners, L.P. and its fully owned subsidiaries (collectively the “Partnership”) is an international shipping company. As of December 31, 2021, its fleet of 21 high specification vessels consisted of 11 Neo-Panamax container carrier vessels, three Panamax container carrier vessels, one Cape-size bulk carrier vessel and six X-DF Liquefied natural gas carrier (“LNG/C”) vessels. Its vessels are capable of carrying a wide range of cargoes including liquefied natural gas, containerized goods and dry bulk cargo under short-term voyage charters and medium to long-term time charters.

The DSS Transaction

On November 27, 2018, the Partnership entered into a definitive transaction agreement (the “Transaction Agreement”) with DSS Holdings L.P. (“DSS”), a privately held third party company, pursuant to which the Partnership agreed to spin off its Crude and Product tanker business into a separate publicly listed company which would combine with DSS’s businesses and operations in a share-to-share transaction (the “DSS Transaction”). Pursuant to the Transaction Agreement:

(a) the Partnership agreed to establish a number of entities for the implementation of the DSS Transaction, including Athena SpinCo Inc. (“Athena”);

(b) the Partnership agreed to contribute to Athena the Crude and Product tanker business, associated inventories, $10,000 in cash plus prorated charter hire and net payments received from February 20, 2019 onwards with specific arrangements relating to the funding of working capital;

(c) the Partnership agreed to distribute all 12,725,000 shares of common stock of Athena (renamed Diamond S Shipping Inc. or “Diamond S”) that it owned by way of a pro rata distribution to holders of the Partnership’s common and general partner units (the “distribution”);

(d) Immediately following the distribution, there was a series of mergers as a result of which Diamond S would acquire the business and operations of DSS (the “combination”). In the combination, Diamond S issued additional shares of Diamond S common stock to DSS in such amount as to reflect the relative net asset values of the respective businesses and the agreed implied premium on the net asset value of the Crude and Product tanker business; and

(e) DSS entered into several firm commitments for a syndicated five year term loan and revolving credit facility of up to $360,000 with a syndicate of global shipping banks, and agreed to turn over net proceeds in such amount to partially prepay a portion of the loans outstanding under the Partnership’s existing credit facilities, redeem the Partnership’s Class B Units and fund transaction expenses.

The DSS Transaction was completed on March 27, 2019. Results of operations and cash flows of the Crude and Product tanker business and assets and liabilities that were part of the DSS Transaction are reported as discontinued operations for 2019 (Note 3).

Effective March 27, 2019, the Partnership effected a one for seven reverse unit split of its issued and outstanding common and general partner units (the “March 2019 Reverse Split”) (Note 13). All units and per unit amounts disclosed in the financial statements give effect to this reverse stock split retroactively, for all periods presented. 

CPLP Shipping Holdings PLC

On August 14, 2021, the Partnership established CPLP Shipping Holdings PLC (“CPLP PLC”) a 100% subsidiary of the Partnership. CPLP PLC was established in Cyprus as a public limited liability company in accordance with the provisions of the Companies Law of Cyprus, Chapter 113. On October 20, 2021, the Partnership, through its fully owned subsidiary, CPLP PLC, issued €150,000,000 unsecured bonds (the “Bonds”) on the Athens Stock Exchange. The Bonds are guaranteed by the Partnership. The Bonds will mature in October 2026 and have a coupon of 2.65%, payable semi-annually. The net proceeds of the Bonds offering were used to partially finance the acquisition of three LNG/C sister vessels (Note 8).

 

1. Basis of Presentation and General Information – Continued

 

As of December 31, 2021, the consolidated financial statements include Capital Product Partners, L.P. and the following wholly owned significant subsidiaries which were all incorporated or formed under the laws of the Marshall Islands, Liberia and Cyprus.

 

Subsidiary Date of Incorporation  Name of Vessel Owned by Subsidiary Deadweight (“DWT”) Date acquired by the Partnership Date acquired by Capital Maritime & Trading Corp. (“CMTC”) or CGC Operating Corp. (“CGC”)
Capital Product Operating L.L.C 01/16/2007 — — — —
CPLP Shipping Holdings PLC 08/14/2021 — — — —
CPLP Gas Operating Corp. 08/24/2021 — — — —
Patroklos Marine Corp. 06/17/2008 M/V Cape Agamemnon 179,221 06/09/2011 01/25/2011
Agamemnon Container Carrier Corp. 04/19/2012 M/V Agamemnon 108,892 12/22/2012 06/28/2012
Archimidis Container Carrier Corp. 04/19/2012 M/V Archimidis 108,892 12/22/2012 06/22/2012
Anax Container Carrier S.A. 04/08/2011 M/V Hyundai Prestige 63,010 09/11/2013 02/19/2013
Hercules Container Carrier S.A. 04/08/2011 M/V Hyundai Premium 63,010 03/20/2013 03/11/2013
Iason Container Carrier S.A. 04/08/2011 M/V Hyundai Paramount 63,010 03/27/2013 03/27/2013
Thiseas Container Carrier S.A. 04/08/2011 M/V Hyundai Privilege 63,010 09/11/2013 05/31/2013
Cronus Container Carrier S.A. 07/19/2011 M/V Hyundai Platinum 63,010 09/11/2013 06/14/2013
Dias Container Carrier S.A. 05/16/2013 M/V Akadimos (ex CMA CGM Amazon)  115,534 06/10/2015 06/10/2015
Poseidon Container Carrier S.A. 05/16/2013 M/V Adonis (ex CMA CGM Uruguay)(1) 115,639 09/18/2015 09/18/2015
Atrotos Container Carrier S.A. 10/25/2013 M/V CMA CGM Magdalena (1) 115,639 02/26/2016 02/26/2016
Deka Container Carrier S.A. 03/28/2017 M/V Athenian 118,834 01/22/2020 04/28/2017
Jupiter Container Carrier S.A. 03/28/2017 M/V Athos 118,888 01/23/2020 05/19/2017
Nikitis Container Carrier S.A. 03/28/2017 M/V Aristomenis 118,712 01/23/2020 06/27/2017
Neos Container Carriers Corp. 09/04/2020 M/V Long Beach Express 68,618 02/25/2021

01/07/2021

Maistros Container Carriers Corp. 09/04/2020

M/V Seattle Express

 68,411

02/25/2021

 01/07/2021
Filos Container Carriers Corp. 09/04/2020

M/V Fos Express

68,579

02/25/2021

01/07/2021

Assos Gas Carrier Corp. 07/16/2018

LNG/C Aristos I

 81,978 09/03/2021 11/12/2020
Dias Gas Carrier Corp. 07/16/2018

LNG/C Aristarchos

 81,956 09/03/2021

06/15/2021

Atrotos Gas Carrier Corp. 07/16/2018

LNG/C Aristidis I

 81,898

12/16/2021

 01/04/2021
Poseidon Gas Carrier Corp. 07/16/2018 LNG/C Attalos 81,850 11/18/2021 08/13/2021
Maximus Gas Carrier Corp. 04/10/2019 LNG/C Asklipios 81,882

11/18/2021

09/29/2021

Kronos Gas Carrier Corp.

02/04/2019

 LNG/C Adamastos

82,095

11/29/2021

08/23/2021

     
(1) Vessels were disposed in 2021.