iso4217:USD439007492023-03-072023-12-31gsd:RegisteredReportingPeriodDeviatingFromReportedReportingPeriodDueArbitraryDatesMembercmn:ConsolidatedMember439007492023-03-072023-12-31cmn:ConsolidatedMember439007492023-03-072023-12-311cmn:ConsolidatedMember439007492023-03-072023-12-31fsa:LiquidationAccountMembercmn:ConsolidatedMember439007492023-03-072023-12-311cmn:ConsolidatedMember439007492023-03-072023-12-312cmn:ConsolidatedMember439007492023-03-072023-12-31439007492023-03-072023-12-31439007492023-03-072023-12-31fsa:RetainedEarningsMembercmn:ConsolidatedMember439007492023-03-072023-12-31fsa:RetainedEarningsMember439007492023-12-31cmn:ConsolidatedMember439007492023-12-31439007492023-12-31fsa:ContributedCapitalMembercmn:ConsolidatedMember439007492023-12-31fsa:RetainedEarningsMembercmn:ConsolidatedMember439007492023-12-31fsa:ContributedCapitalMember439007492023-12-31fsa:RetainedEarningsMember439007492023-03-072023-12-31fsa:ContributedCapitalMembercmn:ConsolidatedMember439007492023-03-072023-12-31fsa:ContributedCapitalMember439007492023-03-072023-12-311cmn:ConsolidatedMember2023-03-072023-03-072023-12-312023-12-31Grundlag for konklusionKonklusion2024-04-182024-04-1833963556Deloitte Statsautoriseret RevisionspartnerselskabRevisionspåtegningRegnskabsklasse C, mellemstor virksomhed33963556Weidekampsgade 6Deloitte Statsautoriseret Revisionspartnerselskab2300 København SMaritime Investment Fund III K/S43900749ÅrsrapportKøbenhavn S23006WeidekampsgadeGentofteHellerup2900 70Strandvejen0The Executive Board has today considered and approved the annual report of Maritime Investment Fund III K/S for the financial year 07.03.2023 - 31.12.2023. The annual report is presented in accordance with the Danish Financial Statements Act.In my opinion, the consolidated financial statements and the parent financial statements give a true and fair view of the Group's and the Parent's financial position at 31.12.2023 and of the results of their operations and the consolidated cash flows for the financial year 07.03.2023 - 31.12.2023.I believe that the management commentary contains a fair review of the affairs and conditions referred to therein. Furthermore, the supplementary report has been prepared in accordance with the Sustainable Finance Disclosure Regulation (SFDR) and contains a fair review of the affairs and conditions referred to therein.I recommend the annual report for adoption at the Annual General Meeting.HellerupMIF III GP ApSTo the shareholders of Maritime Investment Fund III K/SWe have audited the consolidated financial statements and the parent financial statements of Maritime Investment Fund III K/S for the financial year 07.03.2023 - 31.12.2023, which comprise the income statement, balance sheet, statement of changes in equity and notes, including a summary of significant accounting policies, for the Group as well as the Parent, and the consolidated cash flow statement. The consolidated financial statements and the parent financial statements are prepared in accordance with the Danish Financial Statements Act. In our opinion, the consolidated financial statements and the parent financial statements give a true and fair view of the Group's and the Parent's financial position at 31.12.2023 and of the results of their operations and the consolidated cash flows for the financial year 07.03.2023 - 31.12.2023 in accordance with the Danish Financial Statements Act.We conducted our audit in accordance with International Standards on Auditing (ISAs) and additional requirements applicable in Denmark. Our responsibilities under those standards and requirements are further described in the "Auditor’s responsibilities for the audit of the consolidated financial statements and the parent financial statements" section of this auditor’s report. We are independent of the Group in accordance with the International Ethics Standards Board for Accountants’ International Code of Ethics for Professional Accountants (IESBA Code) and the additional ethical requirements applicable in Denmark, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the IESBA Code. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.Management is responsible for the preparation of consolidated financial statements and parent financial statements that give a true and fair view in accordance with the Danish Financial Statements Act, and for such internal control as Management determines is necessary to enable the preparation of consolidated financial statements and parent financial statements that are free from material misstatement, whether due to fraud or error. In preparing the consolidated financial statements and the parent financial statements, Management is responsible for assessing the Group's and the Entity’s ability to continue as a going concern, for disclosing, as applicable, matters related to going concern, and for using the going concern basis of accounting in preparing the consolidated financial statements and the parent financial statements unless Management either intends to liquidate the Entity or to cease operations, or has no realistic alternative but to do so.Our objectives are to obtain reasonable assurance about whether the consolidated financial statements and the parent financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs and the additional requirements applicable in Denmark will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements and parent financial statements. As part of an audit conducted in accordance with ISAs and the additional requirements applicable in Denmark, we exercise professional judgement and maintain professional scepticism throughout the audit. We also: Identify and assess the risks of material misstatement of the consolidated financial statements and the parent financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Group's and the Entity’s internal control. Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by Management. Conclude on the appropriateness of Management’s use of the going concern basis of accounting in preparing the consolidated financial statements and the parent financial statements, and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Group's and the Entity’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the consolidated financial statements and the parent financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Group and the Entity to cease to continue as a going concern. Evaluate the overall presentation, structure and content of the consolidated financial statements and the parent financial statements, including the disclosures in the notes, and whether the consolidated financial statements and the parent financial statements represent the underlying transactions and events in a manner that gives a true and fair view. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.Management is responsible for the management commentary, as well as for the supplementary report on disclosures in accordance with the SFDR etc. hereinafter referred to as "the supplementary report". Our opinion on the consolidated financial statements and the parent financial statements does not cover the management commentary or the supplementary report, and we do not express any form of assurance conclusion thereon. In connection with our audit of the consolidated financial statements and the parent financial statements, our responsibility is to read the management commentary and the supplementary report and, in doing so, consider whether the management commentary and the supplementary report is materially inconsistent with the consolidated financial statements and the parent financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. Moreover, it is our responsibility to consider whether the management commentary provides the information required by the Danish Financial Statements Act and article 8 of Regulation (EU) 2020/852 (EU Taxonomy Regulation) . Based on the work we have performed, we conclude that the management commentary and the supplementary report is in accordance with the consolidated financial statements and the parent financial statements and has been prepared in accordance with the information required by the Danish Financial Statements Act and article 8 of Regulation (EU) 2020/852 (EU Taxonomy Regulation) . We did not identify any material misstatement of the management commentary or the supplementary report.CopenhagenBill Haudal PedersenMichael Thorø Larsenmne30131mne35823State Authorised Public AccountantState Authorised Public AccountantFinancial highlights2023 USD'000Key figuresGross profit/loss(749)Operating profit/loss(749)Net financials(0)Profit/loss for the year(750)Equity(750)RatiosGross margin (%)N/ANet margin (%)N/AReturn on equity (%)N/AEquity ratio (%)N/AFinancial highlights are defined and calculated in accordance with the current version of "Recommendations & Ratios" issued by the CFA Society Denmark.Gross maring (%):Gross profit/loss * 100 RevenueNet margin (%):Profit/loss for the year * 100 RevenueReturn on equity (%):Profit/loss for the year * 100 Average equityEquity ratio (%):Equity * 100 Balance sheet totalPrimary activitiesMaritime Investment Fund III K/S (MIF III) is an alternative investment fund managed by Navigare Capital Partners A/S (Navigare Capital), which is an authorised alternative investment fund manager (AIFM). MIF III is incorporated in Denmark, and the fund is set up and structured in a fully transparent and market conform K/S structure. For investors in MIF III, the strategy offers the opportunity to make long-term investments in a diversified portfolio of shipping assets, benefitting from the inherent low correlation between the segments driven by diverse underlying demand drivers. The fund targets an attractive return, with the majority of the investment return derived from a predictable operating cash yield, paid out quarterly. The fund's ability to deliver a predictable operating cash yield is based on the strategy of investing across segments, ensuring fixed employment contracts through multiple counterparties and having conservative financing. The investment period of the fund is four years after first close or when the fund has invested or committed 85% of the funds committed capital. Development in activities and financesIn 2023, the activities were related to establishing the fund and fundraising. Consequently, the fund delivered a loss of USD -750 thousand, mainly driven by establishing costs. As the fund was in the process of being established Management considers the result for the year to be satisfactory.OutlookFor 2024, management expects a positive result. Material assumption and uncertanties With the first close in 2024, the fund will during 2024 start investing. Consequently, the financial performance in 2024 will depend on investments made and the timing of such investments. The Group’s expectations also depend on earnings from any group enterprises, the developments in the fair market value of maritime assets and the development of the exchange rates. Statutory report on the underrepresented genderThe Fund has the legal status of a Danish limited partnership (“kommanditselskab”) where the general partner is an independent limited company (“Anpartsselskab”). Since the highest body in the Fund – the management – is MIF III GP ApS, the company had zero employees in the reporting year, exempting it from setting a target for the share of underrepresented gender in the highest management body and other management levels and establishing a policy for increasing the share of underrepresented gender in the other management levels. The Fund has the legal status of a Danish limited partnership (“kommanditselskab”) where the general partner is an independent limited company (“Anpartsselskab”). Since the highest body in the Fund – the management – is MIF III GP ApS, the company had zero employees in the reporting year, exempting it from setting a target for the share of underrepresented gender in the highest management body and other management levels and establishing a policy for increasing the share of underrepresented gender in the other management levels. Events after the balance sheet dateOn 27 February 2024, the Fund had first close with commitments from investors amounting to USD 346m. Furthermore, the fund completed its first investment in a newbuild vessel in March 2024 with expected delivery in 2026.Supplementary reportsPeriodic disclosure for Article 8 financial products Please refer to page 22 for Maritime Investment Fund III K/S' periodic disclosure for the financial products referred to in Article 8, paragraphs 1, 2 and 2a, of Regulation (EU) 2019/2088 and Article 6, first paragraph of Regulation (EU) 2020/852 for the period 07.03.2023-31.12.2023. 749398746613-749398-746613309216-749707-746829-749707-749707-746829-7468291111111211-749707-746829-7497061-749707-7468281-74682974970774683074970774683074970774683012101101749706308-309-1-1Contributions from Limited Partners1101 Going concernThe fund had first close on February 27th 2024, allowing for the necessary capital to be contributed from the investors going forward.1 Going concernThe fund had first close on February 27th 2024, allowing for the necessary capital to be contributed from the investors going forward.2 Events after the balance sheet dateThe fund had first close on February 27th 2024.2 Events after the balance sheet dateThe fund had first close on February 27th 2024.3 Other external expensesThe Group has no employees. Management has not received any remuneration. In accordance with the Alternative Investment Fund Managers etc. Act, section 61, 3 (5 and 6) information regarding salaries paid to employees of the investment manager can be found in Navigare Capital Partners A/S’, Business Reg. No. 37338109, Annual report 2023. 3 Other external expensesThe Company has no employees. Management has not received any remuneration. In accordance with the Alternative Investment Fund Managers etc. Act, section 61, 3 (5 and 6) information regarding salaries paid to employees of the investment manager can be found in Navigare Capital Partners A/S’, Business Reg. No. 37338109, Annual report 2023.4 Proposed distribution of profit/loss2023 USDRetained earnings(749,707)(749,707)4 Proposed distribution of profit and loss2023 USDRetained earnings(746,829)(746,829)-749707-7468295 Changes in working capital2023 USDIncrease/decrease in receivables(1)Increase/decrease in trade payables etc.749,707749,7066 Contingent liabilitiesThere are no contingent liabilities of the Group.5 Contingent liabilitiesThere are no contingent liabilities of the Company. 7 SubsidiariesRegistered inCorporate formOwnership %Equity USDProfit/loss USDMaritime Investment Fund IIII Holding K/SHellerupK/S100.00(2,877)(2,878)111This annual report has been prepared in accordance with the provisions of the Danish Financial Statements Act governing reporting class C enterprises (medium).Non-comparabilityThis is the Company's first financial year and comprise the period 07.03.2023 - 31.12.2023, hence no comparative figures have been presented. Reporting currency is U.S. Dollars (USD).Recognition and measurementAssets are recognised in the balance sheet when it is probable as a result of a prior event that future economic benefits will flow to the Entity, and the value of the asset can be measured reliably. Liabilities are recognised in the balance sheet when the Entity has a legal or constructive obligation as a result of a prior event, and it is probable that future economic benefits will flow out of the Entity, and the value of the liability can be measured reliably. On initial recognition, assets and liabilities are measured at cost. Measurement subsequent to initial recognition is effected as described below for each financial statement item. Anticipated risks and losses that arise before the time of presentation of the annual report and that confirm or invalidate affairs and conditions existing at the balance sheet date are considered at recognition and measurement. Income is recognised in the income statement when earned, whereas costs are recognised by the amounts attributable to this financial year. Consolidated financial statementsThe consolidated financial statements comprise the Parent and the group enterprises (subsidiaries) that are controlled by the Parent. Control is achieved by the Parent, either directly or indirectly, holding more than 50% of the voting rights or in any other way possibly or actually exercising controlling influence. Basis of consolidationThe consolidated financial statements are prepared on the basis of the financial statements of the Parent and its subsidiaries. The consolidated financial statements are prepared by combining uniform items. On consolidation, intra-group income and expenses, intra-group accounts and dividends as well as profits and losses on transactions between the consolidated enterprises are eliminated. The financial statements used for consolidation have been prepared applying the Group’s accounting policies. Subsidiaries’ financial statement items are recognised in full in the consolidated financial statements. Investments in subsidiaries are offset at the pro rata share of such subsidiaries’ net assets at the acquisition date, with net assets having been calculated at fair value.Other external expensesOther external expenses include expenses relating to the Entity’s normal activities, including establishment costs. Other financial expensesOther financial expenses comprise interest expenses, including interest expenses on payables to bank.Investments in group enterprisesInvestments in group enterprises are recognised and measured in the parent financial statements at cost. This means that dividends received from group enterprises are included in the profit and loss. Investments are written down to the lower of recoverable amount and carrying amount. ReceivablesReceivables are measured at amortised cost, usually equalling nominal value, less writedowns for bad and doubtful debts.Other financial liabilitiesOther financial liabilities are measured at amortised cost, which usually corresponds to nominal value.Cash flow statementThe cash flow statement shows cash flows from operating, investing and financing activities, and cash and cash equivalents at the beginning and the end of the financial year. Cash flows from operating activities are presented using the indirect method and calculated as the operating profit/loss adjusted for non-cash operating items, working capital changes and taxes paid. Cash flows from investing activities comprise payments in connection with purchase of property, plant and equipment. Cash flows from financing activities comprise changes in the size or composition of the contributed capital and related costs, and well as the raising of loans and instalments on interest-bearing debt. Cash and cash equivalents comprise cash and short-term securities with an insignificant price risk less short- term bank loans. The cash flow statement shows cash flows from operating, investing and financing activities, and cash and cash equivalents at the beginning and the end of the financial year. Cash flows from operating activities are presented using the indirect method and calculated as the operating profit/loss adjusted for non-cash operating items, working capital changes and taxes paid. Cash flows from investing activities comprise payments in connection with purchase of property, plant and equipment. Cash flows from financing activities comprise changes in the size or composition of the contributed capital and related costs, and well as the raising of loans and instalments on interest-bearing debt. Cash and cash equivalents comprise cash and short-term securities with an insignificant price risk less short- term bank loans. 2024-04-18Henrik Ramskov