ATHENS, GREECE, February 1, 2023 – OceanPal
Inc. (NASDAQ: OP) (the “Company”), a global shipping company specializing in
the ownership of vessels, today announced that it has signed, through a
separate wholly-owned subsidiary, a Memorandum of Agreement dated February 1,
2023, to acquire the m/v Melia from Diana Shipping Inc., a related party of the
Company, for an aggregate purchase price of US$14.0 million. Of the purchase
price, US$4.0 million was paid in cash upon the signing of the Memorandum of
Agreement and the remaining amount is expected to be paid upon delivery of the
vessel to OceanPal Inc. in the form of shares of the Company’s Series D Preferred
Stock, the terms of which are set forth in the statement of designation of the
Series D Preferred Stock. The aggregate purchase price of the vessel was based
on the average of two independent shipbroker valuations, after taking into account
the share-based component of the consideration.
The m/v Melia is a 2005-built Panamax dry bulk vessel
with a carrying capacity of 76,225 dwt. The Company expects to take delivery of the vessel by
the end of February 2023. The purchase of this vessel was made pursuant to the Company’s exercise of a right of first refusal granted to it by Diana Shipping Inc. on six
identified vessels (including the m/v Melia) based on an agreement dated
November 8, 2021. The acquisition was approved by a committee of independent
members of the Company’s Board of Directors.
Upon completion of the aforementioned purchase,
OceanPal Inc.’s fleet will consist of 5 dry bulk vessels (2 Capesize and 3
Panamax). A table describing the current OceanPal Inc. fleet can be found on
the Company’s website, www.oceanpal.com. Information contained on the Company’s
website does not constitute a part of this press release.
About the Company
OceanPal Inc. is a global provider of shipping
transportation services through its ownership of vessels. The Company’s vessels
currently transport a range of dry bulk cargoes, including such commodities as
iron ore, coal, grain and other materials along worldwide shipping routes and
it is expected that the Company’s vessels will be primarily employed on short
term time and voyage charters following the completion of their current
employments.
Forward Looking Statements
Matters discussed in this press release may
constitute forward-looking statements. The Private Securities Litigation Reform
Act of 1995 provides safe harbor protections for forward-looking statements in
order to encourage companies to provide prospective information about their
business. Forward-looking statements include statements concerning plans,
objectives, goals, strategies, future events or performance, and underlying
assumptions and other statements.
The Company desires to take advantage of the safe
harbor provisions of the Private Securities Litigation Reform Act of 1995 and
is including this cautionary statement in connection with this safe harbor
legislation. The words “believe,” “anticipate,” “intends,” “estimate,”
“forecast,” “project,” “plan,” “potential,” “may,” “should,” “expect,”
“pending” and similar expressions identify forward-looking statements.
The forward-looking statements in this press release
are based upon various assumptions, many of which are based, in turn, upon
further assumptions, including without limitation, Company management’s
examination of historical operating trends, data contained in the Company’s
records and other data available from third parties. Although the Company
believes that these assumptions were reasonable when made, because these
assumptions are inherently subject to significant uncertainties and
contingencies that are difficult or impossible to predict and are beyond the
Company’s control, the Company cannot assure you that it will achieve or
accomplish these expectations, beliefs or projections.
In addition to these important factors, other
important factors that, in the Company’s view, could cause actual results to
differ materially from those discussed in the forward-looking statements
include the severity, magnitude and duration of the COVID-19 pandemic,
including impacts of the pandemic and of businesses’ and governments’ responses
to the pandemic on our operations, personnel, and on the demand for seaborne
transportation of bulk products; the strength of world economies and
currencies, general market conditions, including fluctuations in charter rates
and vessel values, changes in demand for dry bulk shipping capacity, changes in
the Company’s operating expenses, including bunker prices, drydocking and
insurance costs, the market for the Company’s vessels, availability of
financing and refinancing, changes in governmental rules and regulations or
actions taken by regulatory authorities, potential liability from pending or
future litigation, general domestic and international political conditions,
including risks associated with the continuing conflict between Russia and
Ukraine and related sanctions, potential disruption of shipping routes due to
accidents or political events, vessel breakdowns and instances of off-hires and
other factors. Please see the Company’s filings with the U.S. Securities and
Exchange Commission for a more complete discussion of these and other risks and
uncertainties. The Company undertakes no obligation to revise or update any
forward-looking statement, or to make any other forward-looking statements,
whether as a result of new information, future events or otherwise.
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