Safe Bulkers, Inc. (NYSE: SB), an international provider of marine drybulk transportation services, announced yesterday that it has entered into a Memorandum of Agreement with an unaffiliated seller to acquire a Japanese-built, dry-bulk, Post-Panamax class, resale, newbuild vessel. The vessel is expected to be delivered within the first half of 2020.

Safe Bulkers, Inc. Enters Into a Memorandum of Agreement for the Acquisition of a Japanese Post-Panamax Class Dry-Bulk Vessel
Image for illustrative purposes only - Photo credits: Safe Bulkers

The Company has the option to finance up to 50% of the purchase price of the vessel through the periodic issuance of the Company’s common stock to the seller.  Any such common stock issued by the Company will be subject to a restriction on transfer for a period of six months from the date of such issuance. The cash component of the purchase price will be financed with cash on hand.

Dr. Loukas Barmparis, President of the Company commented: “Following completion of the refinancing actions announced by the Company last week that were designed to provide financial flexibility and improve liquidity, this acquisition reflects the Company’s commitment to opportunistically expand and renew its fleet.  This vessel suits our overall fleet profile at an attractive price, while providing significant financing flexibility.’’

Source: Safe Bulkers