NASDAQ-listed Paragon Shipping plans to offer and sell $4.0m in new shares to Maxim Group, an New York-based investment banking firm.
The net proceeds from the sale will be used in part to finance Paragon’s newbuildings and repay debt, as well as for other general corporate purposes.
Paragon said it would offer and sell the shares “from time to time and at its discretion” over the next 12 months.
Maxim Group and the Athens-based shipowner entered into an equity distribution agreement for the sale on September 4.
Paragon currently has two ultramax and three kamsarmax bulk carriers under construction for delivery between the third quarter of 2015 and the first quarter of 2016.