Castor Maritime Inc. Announces Pricing of $26.0 Million Registered Direct Offering
January 08 2021 - 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
137.0 million of its common shares and warrants to purchase up to
an aggregate of 137.0 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 $26.0 million before
deducting the placement agent’s fees and other estimated offering
expenses. The offering is expected to close on or around January
12, 2021, subject to the satisfaction of customary closing
conditions.
The securities described above are being sold
pursuant to effective shelf registration statements on Form F-3 and
Form F-3MEF, previously filed with the Securities and Exchange
Commission (the “SEC”) on June 10, 2019 and January 8, 2021,
respectively. 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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