Castor Maritime Inc. Announces Pricing of Upsized $18.0 Million Underwritten Public Offering
June 23 2020 - 8:30PM
Castor Maritime Inc. (the “Company”) (NASDAQ: CTRM) announced today
the pricing of an upsized underwritten public offering of
51,400,000 units at a price of $0.35 per unit. Each unit consists
of one common share (or prefunded warrant in lieu thereof) and one
Class A warrant to purchase one common share, and will immediately
separate upon issuance. The gross proceeds of the offering to the
Company, before underwriting discounts and commissions and
estimated offering expenses, are expected to be approximately $18.0
million. The Company intends to use the net proceeds of the
offering for capital expenditures, working capital, to make vessel
or other asset acquisitions or for other general corporate
purposes, or a combination thereof.
Each Class A warrant is immediately exercisable
for one common share at an exercise price of $0.35 per share and
will expire five years from issuance. The offering is expected to
close on or about June 26, 2020, subject to customary closing
conditions.
Maxim Group LLC is acting as sole book-running
manager in connection with the offering.
The Company has granted the underwriter a 30-day
option to purchase up to an additional 7,710,000 shares of common
stock or prefunded warrants and/or 7,710,000 Class A warrants, at
the public offering price less discounts and commissions.
The offering is being conducted pursuant to the
Company's registration statement on Form F-1 (File No. 333-238990)
previously filed with and subsequently declared effective by the
Securities and Exchange Commission ("SEC") on June 23, 2020 (the
“Registration Statement”). A final prospectus relating to the
offering will be filed with the SEC and will be available on the
SEC's website at http://www.sec.gov. Electronic copies of the
prospectus relating to this offering, when available, may be
obtained from Maxim Group LLC, 405 Lexington Avenue, 2nd Floor, New
York, NY 10174, at (212) 895-3745.
This press release shall not constitute an offer
to sell or the solicitation of an offer to buy, nor shall there be
any sale of, these securities in any state or jurisdiction in which
such offer, solicitation or sale would be unlawful prior to
registration or qualification of these securities under the
securities laws of any such state or jurisdiction.
About Castor Maritime Inc.Castor Maritime Inc.
is an international provider of shipping transportation services
through its ownership of dry bulk vessels. The Company’s vessels
are employed primarily on medium-term charters and transport a
range of dry bulk cargoes, including such commodities as coal,
grain and other materials along worldwide shipping routes. The
Company's fleet currently consists of three Panamax dry bulk
carriers. For more information please visit the company’s website
at www.castormaritime.com.
Cautionary Statement Regarding Forward-Looking
StatementsMatters discussed in this press release may
constitute forward-looking statements. The Private Securities
Litigation Reform Act of 1995 provides safe harbor protections for
forward-looking statements in order to encourage companies to
provide prospective information about their business.
Forward-looking statements include statements concerning plans,
objectives, goals, strategies, future events or performance, and
underlying assumptions and other statements, which are other than
statements of historical facts. The Company desires to take
advantage of the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995 and is including this cautionary
statement in connection with this safe harbor legislation. The
words “believe,” “anticipate,” “intend,” “estimate,” “forecast,”
“project,” “plan,” “potential,” “will,” “may,” “should,” “expect,”
“pending” and similar expressions identify forward-looking
statements. The forward-looking statements in this press release
are based upon various assumptions, many of which are based, in
turn, upon further assumptions, including without limitation, our
management’s examination of historical operating trends, data
contained in our records and other data available from third
parties. Although we believe that these assumptions were reasonable
when made, because these assumptions are inherently subject to
significant uncertainties and contingencies which are difficult or
impossible to predict and are beyond our control, we cannot assure
you that we will achieve or accomplish these expectations, beliefs
or projections. We undertake no obligation to update any
forward-looking statement, whether as a result of new information,
future events or otherwise. In addition to these important factors,
other important factors that, in the Company’s view, could cause
actual results to differ materially from those discussed in the
forward‐looking statements include general dry bulk shipping market
conditions, including fluctuations in charterhire rates and vessel
values, the strength of world economies the stability of Europe and
the Euro, fluctuations in interest rates and foreign exchange
rates, changes in demand in the dry bulk shipping industry,
including the market for our vessels, changes in our operating
expenses, including bunker prices, dry docking and insurance costs,
changes in governmental rules and regulations or actions taken by
regulatory authorities, potential liability from pending or future
litigation, general domestic and international political
conditions, potential disruption of shipping routes due to
accidents or political events, the availability of financing and
refinancing and grow our business, vessel breakdowns and instances
of off‐hire, risks associated with vessel construction, potential
exposure or loss from investment in derivative instruments,
potential conflicts of interest involving our Chief Executive
Officer, his family and other members of our senior management, and
our ability to complete acquisition transactions as planned. Please
see our filings with the Securities and Exchange Commission for a
more complete discussion of these and other risks and
uncertainties. The information set forth herein speaks only as of
the date hereof, and the Company disclaims any intention or
obligation to update any forward‐looking statements as a result of
developments occurring after the date of this communication.
CONTACT DETAILS
For further information please contact:Petros PanagiotidisCastor
Maritime Inc.Email: info@castormaritime.com
Media Contact:Kevin KarlisCapital LinkEmail:
castormaritime@capitallink.com
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