United Maritime Announces Accr – GuruFocus.com
GLYFADA, Greece, July 11 28, 2022 (GLOBE NEWSWIRE) — United Maritime Corporation (the “Company” or “United”) (USEA) today announced that it has entered into agreements with unaffiliated third parties to purchase a fleet of four tankers , consisting of two Aframax tankers and two LR2 tankers, with fast deliveries.
The two Aframax tankers were built in 2006 at a reputable yard in South Korea and have a carrying capacity of approximately 114,000 tonnes deadweight (“dwt”) each, while the two LR2 tankers were built in 2008 in reputable yards in China and have a carrying capacity of around 109,000 dwt each.
The aggregate purchase price for the four vessels is $79.5 million and is expected to be financed with cash on hand and proceeds from committed credit facilities, as discussed in more detail below.
Stamatis Tsantanis, Chairman and CEO of the company, said:
“We are very pleased to announce this landmark first transaction for United, which marks the company’s diversification into tankers and brings our fleet to nearly 620,000 DWT. We expect this acquisition to prove highly accretive to the company given the recent appreciation in the value of tankers.
“As previously stated, our intention is for United to pursue a diversified business model, taking advantage of attractive opportunities in sectors with strong fundamentals. The bullish outlook for the tanker sector, supported by weak fleet growth and the continued recovery demand for petroleum and refined petroleum products, make this first transaction an ideal fit for United.
“We remain committed to growing the company through accretive and timely acquisitions aimed at enhancing shareholder value and creating a strong and resilient entity, mitigating industry-specific cyclicality.”
Cash used to fund the acquisition is expected to include $5.0 million in proceeds received from United’s former parent Seanergy Maritime Holdings Corp. (“Seenergy”), which has agreed to purchase an additional 5,000 Series C Preferred Shares of United.
United has secured a Letter of Commitment from M/V Gloriuship’s existing lender to finance 80% of the purchase price of the fleet of four tankers. The $63.6 million facility will have an 18-month term, bear interest at a fixed rate of 7.90% per annum and be amortized in 3 quarterly installments averaging $4.0 million, followed a balloon of $51.6 million payable at maturity. Repayments will begin nine months after the loan is drawn.
United have also received a letter of commitment from the same lender to refinance the Gloriuship-backed loan with a current outstanding amount of $4.95 million, through a new $14 million loan facility. The new facility will have a term of 18 months, will bear interest at a fixed rate of 7.90% per annum, down from the current rate of 10.5%, and will be amortized in 3 quarterly installments of 1.0 million each, followed by a lump sum payment of $11.0 million payable at maturity. Repayments will begin nine months after the loan is drawn.
About United Maritime Corporation
United Maritime Corporation is an international shipping company specializing in shipping services around the world. Upon delivery of the newly acquired vessels, the Company’s fleet will consist of one dry bulk carrier and four tankers with a total carrying capacity of approximately 617,014 tonnes of dwt.
The Company is incorporated under the laws of the Republic of the Marshall Islands and has executive offices in Glyfada, Greece. The Company’s common stock trades on the Nasdaq Capital Market under the symbol “USEA”.
Please visit our company website at: www.unitedmaritime.gr.
This press release contains forward-looking statements (as defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended) regarding future events . Words such as “may”, “should”, “expect”, “intend”, “plan”, “believe”, “anticipate”, “hope”, “estimate” and variations of these words and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. These statements involve known and unknown risks and are based on a number of assumptions and estimates, which are inherently subject to significant uncertainties and contingencies, many of which are beyond the control of the Company. Actual results may differ materially from those expressed or implied by these forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, trends in the shipping industry, including charter rates, vessel values and factors affecting supply and demand for vessels; the impact of changes in regulatory requirements or actions taken by regulatory authorities on the Company’s operating or financial results; the Company’s financial condition and liquidity, including its ability to service its debt; competitive factors in the market in which the Company operates; increased operating costs associated with aging vessels; damage to ships; future, pending or recent acquisitions and divestitures, business strategy, possible areas of expansion or contraction and anticipated capital or operating expenditures; reliance on affiliates of the former parent company and third party managers of the Company to operate the Company’s business; crew availability, number of non-hire days, classification survey requirements and insurance costs; changes in the Company’s relationships with contractual counterparties; potential liability for future litigation and incidents involving the Company’s vessels; broader market impacts resulting from war (or threat of war) or international hostilities, such as between Russia and Ukraine; risks associated with the duration and severity of the ongoing novel coronavirus (COVID-19) outbreak, including its effects on demand for dry bulk products, other product types and their transportation; and other factors listed from time to time in the Company’s filings with the SEC, including its registration statement on Form 20-F. Company filings may be obtained free of charge at the SEC’s website at www.sec.gov. Except to the extent required by law, the Company expressly disclaims any obligation or undertaking to release any update or revision to any forward-looking statement contained herein to reflect any change in the Company’s expectations with respect thereto or any change of events, conditions or circumstances on which any statement is based.
For more information, please contact:
United Investor Relations
Tel: +30 213 0181 522
E-mail: [email protected]
Capital Link, Inc.
230 Park Avenue, Suite 1540
New York, NY 10169
Tel: (212) 661-7566
E-mail: [email protected]