Costamare Bulkers files $200M mixed securities shelf

Costamare Bulkers files $200M mixed securities shelf

Costamare Bulkers Inc. (NASDAQ: CMRE) has announced the filing of a $200 million mixed securities shelf offering. The offering includes both senior notes and junior subordinated notes, which will be used to finance the company's operations and expand its fleet.

According to the company's press release, the senior notes will have a maturity of 10 years and will bear an annual interest rate of 7.5%. The junior subordinated notes will have a maturity of 15 years and will bear an annual interest rate of 10%. The proceeds from the offering will be used to refinance existing debt, reduce leverage, and fund future growth opportunities.

The offering is expected to close by the end of the second quarter of 2025. The company has engaged J.P. Morgan Securities LLC as the lead manager and co-manager for the offering. The senior notes will be underwritten by J.P. Morgan Securities LLC and the junior subordinated notes will be underwritten by J.P. Morgan Securities LLC and Credit Suisse Securities USA LLC.

The company's Chairman and CEO, Stamatis Tsantanis, stated, "This offering will provide us with the necessary capital to fund our strategic growth initiatives and improve our financial flexibility. We are confident that this transaction will strengthen our balance sheet and position us well for the future."

The offering comes at a time when the dry bulk shipping market is experiencing seasonal weakness. However, the company remains optimistic about the long-term fundamentals of the market and expects a meaningful improvement in earnings in the second quarter of 2025.

References:
[1] https://finance.yahoo.com/news/seanergy-maritime-reports-financial-results-120000735.html