Shares of George Economou-led DryShips plunged yesterday after the Nasdaq-listed company revealed it had defaulted on three bank facilities and raised “substantial doubt” of its ability to carry on as a going concern.
Having closed on Monday at $2.36, the shares opened trading on Tuesday at just $1.44 as investors desperately offloaded shares in the company. The decline continued throughout the day with shares closing at just $1.29 – down over 45%.
DryShips fall from grace with investors has been remarkable, highlighted by Economou’s presence this week at Greek shipping event Posidonia. During the last Posidonia event, in June 2014, DryShips shares traded around the $79 mark.
Economou listed DryShips on the Nasdaq for $18 a share and the stock changed hands for as much as $2,785 per share in 2007.
Last year, DryShips posted a net loss of $2.84bn.