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Diana Shipping: public offering update

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Dry Bulk,


Diana Shipping Inc. has closed its previously announced underwritten public offering of a total of 20 125 000 common shares, par value US$0.01 per share, at a price of US$4.00 per share, including the full exercise of the over-allotment option granted to the underwriters to purchase up to 2 625 000 additional common shares. Following this offering, the Company has 106 131 017 common shares outstanding, par value US$0.01 per share.

As part of the offering, entities affiliated with Simeon Palios, the Company’s Chief Executive Officer and Chairman, executive officers and certain directors, purchased an aggregate of 5 500 000 common shares at the public offering price.

The gross proceeds from the offering before underwriting discounts and other offering expenses were US$80.5 million.

Substantially all of the net proceeds of the offering are expected to be used to fund the acquisition costs of additional dry bulk vessels, including two 2013-built Post-Panamax dry bulk vessels that the Company has agreed to purchase from unaffiliated third parties and one 2013-built Kamsarmax dry bulk vessel that the Company has agreed to purchase from an unaffiliated third party. The Company also announced today that approval by the Board of Directors of the Company, previously announced as a condition to the acquisition of the three vessels, has been received. Any net proceeds from the offering not used for the vessel acquisitions will be used for general corporate purposes.

Wells Fargo Securities LLC and Clarksons Platou Securities Inc. acted as joint book-running managers in the offering and BNP Paribas Securities Corp. acted as co-lead manager.

Read the article online at: https://www.drybulkmagazine.com/shipping/27042017/diana-shipping-public-offering-update/


 

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