Castor Maritime Inc. Announces Pricing of $18.0 Million Registered Direct Offering
December 31 2020 - 9:00AM
Castor Maritime Inc. (the “Company”) (NASDAQ: CTRM) announces today
that it has entered into a securities purchase agreement with
certain unaffiliated institutional investors to issue approximately
94.8 million of its common shares and warrants to purchase up to an
aggregate of 94.8 million common shares at a purchase price of
$0.19 per common share and accompanying warrant in a registered
direct offering. The warrants will have an exercise price of $0.19
per share, are exercisable immediately and will expire five years
following the date of issuance.
Maxim Group LLC is acting as sole placement
agent for the offering.
The gross proceeds to the Company from the
offering are estimated to be approximately $18.0 million before
deducting the placement agent’s fees and other estimated offering
expenses. The offering is expected to close on or around January 5,
2021, subject to the satisfaction of customary closing
conditions.
The securities described above are being sold
pursuant to the shelf registration statement on Form F-3 (File No.
333-232052), previously filed with the Securities and Exchange
Commission (the “SEC”) on June 10, 2019 and declared effective on
June 21, 2019. Such securities are being offered only by means of a
prospectus. A prospectus supplement and the accompanying prospectus
relating to and describing the terms of the registered direct
offering will be filed with the SEC. When available, copies of the
prospectus supplement and the accompanying prospectus relating to
the registered direct offering may be obtained at the SEC’s website
at www.sec.gov or by contacting 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 six Panamax dry bulk
vessels.
For more information please visit the Company’s website at
www.castormaritime.com
Cautionary Statement Regarding Forward-Looking
Statements
Matters 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 length
and severity of the COVID-19 outbreak, the impact of public health
threats and outbreaks of other highly communicable diseases, the
impact of the expected discontinuance of LIBOR after 2021 on
interest rates of our debt that reference LIBOR, the availability
of financing and refinancing and grow our business, vessel
breakdowns and instances of off‐hire, 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: ir@castormaritime.com
Media Contact:Kevin KarlisCapital LinkEmail:
castormaritime@capitallink.com
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