Countless private equity firms have been seduced by the scent of declining asset prices and are hoping to exploit the downturn but few have the knowledge needed to get a deal done and often require a little hand holding before diving in.
In response to the phenomenon, shipping stalwart Sydney Levine has compiled a list of questions aimed at helping market insiders separate the wheat from the chaff in an effort to determine which counterparties suffer from a steep learning curve early on in the game.
Levine’s “Shipping Litmus Test” is comprised of 20 questions that are grouped into categories like history, chartering, legal, geography, technical and details. To put your knowledge to the test you can click on the link located to the right of this article where the quiz can be found in full.
While the key is not included, the Manhattan-based vessel valuation specialist was kind enough to offer the answer to one of the least difficult “history” questions: Why is Teekay named Teekay? Answer: Named after the initials of founder Torben Karlshoej (pictured).
If you find yourself stuck on “How many locks are on the Suez Canal?” or “How many cranes are on a modern capesize bulker?” don’t feel too bad, there are a number of trick questions designed to trip up veterans and novices alike.
