FreeSeas Inc. Announces Results of Special Meeting of Shareholders
11 April 2016 - 10:30PM
Athens, Greece, April 11, 2016 -
FreeSeas Inc. (Nasdaq: FREE) (“FreeSeas” or the
“Company”), a transporter of dry-bulk cargoes through the
ownership and operation of a fleet of Handysize vessels and an
owner of a controlling stake in a company commercially operating
tankers, announced today that at the special meeting of the
Company’s shareholders held on April 8, 2016, the shareholders
approved three proposals, as follows:
- granted discretionary authority to the Company’s board of
directors to first, (A) amend the Amended and Restated Articles of
Incorporation of the Company to effect one or more consolidations
of the issued and outstanding shares of common stock, pursuant to
which the shares of common stock would be combined and reclassified
into one share of common stock at a ratio within the range from
1-for-2 up to 1-for-200 (the “Reverse Stock Split”) and (B)
determine whether to arrange for the disposition of fractional
interests by shareholder entitled thereto, to pay in cash the fair
value of fractions of a share of common stock as of the time when
those entitled to receive such fractions are determined, or to
entitle shareholder to receive from the Company’s transfer agent,
in lieu of any fractional share, the number of shares of common
stock rounded up to the next whole number, provided that, (X) that
the Company shall not effect Reverse Stock Splits that, in the
aggregate, exceeds 1-for-200, and (Y) any Reverse Stock Split is
completed no later than the first anniversary of the date of the
special meeting;
- ratified the potential issuance of more than 20% of the
Company’s issued and outstanding common stock at a price that is
less than the greater of book or market value in accordance with
(i) a securities purchase agreement between the Company and MTR3S
Holding Ltd., dated March 1, 2016; (ii) a debt settlement agreement
and release between the Company and Intermodal Shipbrokers Co.,
dated January 19, 2016; (iii) a securities purchase agreement
between the Company and Mordechai Vizel, dated January 19, 2016;
(iv) a securities purchase agreement between the Company and Alpha
Capital Anstalt, dated January 6, 2016; (v) a debt settlement
agreement between the Company and Sichenzia Ross Friedman Ference
LLP, dated October 7, 2015; and (vi) a securities purchase
agreement between the Company and Service Trading Company, LLC,
dated August 20, 2015; and
- approved the potential issuance of more than 20% of the
Company’s issued and outstanding common stock at a price that is
less than the greater of book or market value in accordance with
the following potential future transactions: (i) one or multiple
purchase agreements for the sale of common stock or securities
convertible into common stock up to $2 million for working capital
at a discount to the market price of up to 50%, to be entered into
within 180 days of the Special Meeting, (ii) one or multiple debt
settlement agreements for the sale of common stock or securities
convertible into common stock of up to $6 million for the
settlement of trade or bank debt at a discount to the market
price of up to 50%, to be entered into within 180 days of the
Special Meeting, and (iii) a purchase agreement for the sale of
common stock or securities convertible into common stock up to $15
million for asset acquisitions at a discount to the market price of
up to 65%, to be entered into within 180 days of the Special
Meeting.
About FreeSeas Inc.
FreeSeas Inc. is a Marshall Islands corporation
with principal offices in Athens, Greece. FreeSeas is engaged in
the transportation of drybulk cargoes through the ownership and
operation of drybulk carriers and also is an owner of a controlling
stake in a company commercially operating tankers. Currently, it
has a fleet of Handysize vessels. FreeSeas' common stock trades on
the Nasdaq Capital Market under the symbol FREE. Risks and
uncertainties are described in reports filed by FreeSeas Inc. with
the SEC, which can be obtained free of charge on the SEC's website
at http://www.sec.gov . For more information about FreeSeas
Inc., please visit the corporate website, www.freeseas.gr
.
Forward-Looking Statements
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) concerning future events and the Company's growth
strategy and measures to implement such strategy. Words such as
''expects,'' ''intends,'' ''plans,'' ''believes,'' ''anticipates,''
''hopes,'' ''estimates,'' and variations of such words and similar
expressions are intended to identify forward-looking statements.
Although the Company believes that the expectations reflected in
such forward-looking statements are reasonable, no assurance can be
given that such expectations will prove to be correct. These
statements involve known and unknown risks and are based upon 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 such forward-looking
statements. Factors that could cause actual results to differ
materially include, but are not limited to, changes in the demand
for dry bulk vessels; competitive factors in the market in which
the Company operates; risks associated with operations outside the
United States; and other factors listed from time to time in the
Company's filings with the Securities and Exchange Commission. The
Company expressly disclaims any obligation or undertaking to
release publicly any updates or revisions to any forward-looking
statements contained herein to reflect any change in the Company's
expectations with respect thereto or any change in events,
conditions or circumstances on which any statement is based.
Contact Information:At
the Company
FreeSeas Inc.Dimitris Papadopoulos, Chief
Financial Officer011-30-210-45-28-770Fax:
011-30-210-429-10-10dp@freeseas.grwww.freeseas.gr
Freeseas (NASDAQ:FREEZ)
Historical Stock Chart
Von Nov 2024 bis Dez 2024
Freeseas (NASDAQ:FREEZ)
Historical Stock Chart
Von Dez 2023 bis Dez 2024
