Genco Shipping & Trading Limited Announces Launch of Common Stock Offering Under Shelf Registration Statement

News was prepared under the information support of Online Daily Newspaper on Hellenic and international Shipping "Hellenic Shipping News".

28 Sep 2007

Genco Shipping & Trading Limited announced yesterday the commencement of a public offering of primary and secondary shares of its common stock, par value $0.01 per share (the "Common Stock"). Genco expects to offer approximately 3,305,000 shares of Common Stock representing gross proceeds of approximately $215,000,000, and a selling shareholder is expected to offer 750,000 shares of Common Stock, pursuant to the Company's existing shelf registration statement. Genco intends to use all of its net proceeds from the offering to repay a portion of its outstanding indebtedness under its credit facility. Subject to the terms of the credit facility, the amounts so repaid will be available for future borrowings, which Genco may use for future acquisitions or other corporate purposes. For purposes of covering over-allotments, the Company and the selling shareholder will grant the underwriters the right to purchase an additional 10% of the total shares of Common Stock offered. Of this amount, the Company expects that it will offer a number of shares sufficient to raise additional gross proceeds of approximately $10,000,000 if the over-allotment option is exercised in full, for a maximum offering of $225,000,000 by the Company, and the selling shareholder will offer the remainder. The Company will not receive any proceeds from the shares of Common Stock sold by the selling shareholder.