NEWPORT,
R.I., Jan. 6, 2025 /PRNewswire/ -- Pangaea
Logistics Solutions Ltd. ("Pangaea" or the "Company") (Nasdaq:
PANL), a global provider of comprehensive maritime logistics
solutions, today announced that it has completed its previously
announced combination of its existing dry-bulk fleet with fifteen
handy-size dry bulk vessels owned by Strategic Shipping Inc.
("SSI"). Shareholder approval of the transaction (the
"Transaction") was obtained at a special meeting of shareholders on
December 30, 2024, resulting in
closing of the Transaction on the same day.
Under the terms of the Transaction, Pangaea issued 18,059,342
shares of its common stock to SSI equal to approximately 27.6% of
the Company's outstanding common stock immediately following the
consummation of the Transaction, in exchange for the fifteen
handy-size vessels. SSI's vessels valued at approximately
$271 million at the closing,
inclusive of $100 million of vessel
related financing agreements assumed by Pangaea, resulting in a net
asset value of $171 million.
MANAGEMENT COMMENTARY
"We are starting the new year with an expanded complement of
vessels that provide new offerings to existing and new clients
of Pangaea and Strategic, along with a larger core of
experienced people ready to address customer supply chain
challenges with creativity and efficiency," said Mark Filanowski, Pangaea's Chief Executive
Officer. "Our owned fleet of 41 ships in the range of handy
to post-Panamax sizes, matched with our growing terminal
operations, provide our customers with new alternatives for their
dry bulk logistics requirements. As we expand our fleet, we will
also grow our cargo base and our operating fleet of chartered-in
ships helping to maximize efficiencies through position arbitrage
against our cargo book. This transformational transaction is
an exciting new growth chapter for Pangaea."
DNB Markets, Inc. served as financial advisor to Pangaea, and
Seward & Kissel LLP acted as its legal advisor.
ABOUT PANGAEA LOGISTICS SOLUTIONS
Pangaea Logistics Solutions Ltd. (NASDAQ: PANL) and its
subsidiaries (collectively, "Pangaea" or the "Company") provides
seaborne dry bulk logistics and transportation services as well as
terminal and stevedoring services. Pangaea utilizes its logistics
expertise to service a broad base of industrial customers who
require the transportation of a wide variety of dry bulk cargoes,
including grains, coal, iron ore, pig iron, hot briquetted iron,
bauxite, alumina, cement clinker, dolomite and limestone. The
Company addresses the logistics needs of its customers by
undertaking a comprehensive set of services and activities,
including cargo loading, cargo discharge, port and terminal
operations, vessel chartering, voyage planning, and vessel
technical management. Learn more at www.pangaeals.com.
ABOUT STRATEGIC SHIPPING INC.
Strategic Shipping Inc., through its subsidiaries, is a
privately held ship-owner, operator, manager, and investor focused
on the chemical, product, and dry bulk segments. SSI's
operations are conducted under the name of M.T. Maritime
("MTM"). For further information, please go to
www.mtmaritime.com.
INVESTOR RELATIONS CONTACTS
Gianni Del Signore
Chief Financial Officer
401-846-7790
Investors@pangaeals.com
Stefan Neely or Noel Ryan
Vallum Advisors
PANL@val-adv.com
FORWARD-LOOKING STATEMENT
Certain statements in this press release are "forward-looking
statements" within the meaning of the Private Securities Litigation
Act of 1995. These forward-looking statements are based on our
current expectations and beliefs and are subject to a number of
risk factors and uncertainties that could cause actual results to
differ materially from those described in the forward-looking
statements. The Company disclaims any obligation to publicly update
or revise these statements whether as a result of new information,
future events or otherwise, except as required by law. Such risks
and uncertainties include, without limitation, the strength of
world economies and currencies, general market conditions,
including fluctuations in charter rates and vessel values, changes
in demand for dry bulk shipping capacity, changes in our operating
expenses, including bunker prices, dry-docking and insurance costs,
the market for our vessels, availability of financing and
refinancing, charter counterparty performance, our ability to
successfully integrate the 15 SSI vessels into our operating fleet,
our ability to obtain financing and comply with covenants in such
financing arrangements, 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, vessels
breakdowns and instances of off-hires and other factors, as well as
other risks that have been included in filings with the Securities
and Exchange Commission, all of which are available at
www.sec.gov.
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SOURCE Pangaea Logistics Solutions LTD