Athens: NYSE-listed Scorpio Bulkers is planning a share offering in which it will sell $200m of its common stock to fund installment payments for its newbuilding programme.
The exact number of shares to be sold in the offering has not been disclosed, but would be roughly 100m shares based on the stock’s current share price. The company has 180.47m shares outstanding.
Scorpio Bulkers’ stock began trading yesterday at $2.38 per share yesterday but closed at $2.175 per share subsequent to the offering being announced.
“Any net proceeds of the offering not used for installment payments are expected to be used for general corporate purposes and working capital,” said Monaco-based company, which has 63 vessels under construction.
Up to $15m in common shares have been reserved by the offering’s underwriters for purchase by Scorpio Services Holdings and certain executive officers of the company. These shares will be bought at the public offering price, Scorpio confirmed.
The underwriters have a 30-day option to purchase up to an additional $30m in shares.
Deutsche Bank Securities and Clarksons Platou Securities are acting as joint bookrunners in the offering; Evercore ISI and Stifel are acting as co-lead managers and ABN AMRO, Credit Agricole CIB and Clarksons Platou Securities are acting as co-managers.