Joint venture

A joint venture in shipping is a vehicle two or more parties own together to share the capital, risk, and returns of owning or operating vessels. It may be a single-ship company, a fleet holding company, or a contractual pool, with the partners contributing equity, tonnage, or expertise and splitting profit by their shareholding. Owners use it to spread the cost of newbuildings, combine with a cargo interest for secure employment, or pair operating know-how with another party’s capital. The shareholders’ agreement sets governance, funding obligations, distribution policy, and exit and deadlock terms.