FreeSeas Announces Pricing of Common Stock Offering
Company to Utilize Proceeds Primarily for Vessel Acquisition Purposes
PIRAEUS, Greece, Jul 22, 2009 (GlobeNewswire via COMTEX) -- FreeSeas Inc. (Nasdaq:FREE) (Nasdaq:FREEW) (Nasdaq:FREEZ) ("FreeSeas" or the "Company"), a transporter of drybulk cargoes through the ownership and operation of a fleet of seven Handysize vessels and two Handymax vessels, announced today the pricing of an offering of 8,731,436 shares of its common stock at $1.80 per share for gross proceeds of $15,716,585. The Company expects the offering to close on July 28, 2009. Proceeds from the offering will be used primarily for the acquisition of an additional drybulk vessel, as well as for the repayment of debt and general working capital purposes.
The Company has granted the underwriters an option to purchase an additional 1,309,715 shares to cover over-allotments, if any, exercisable within 30 days. Dahlman Rose & Company is serving as the sole book-running manager for the offering, and Rodman & Renshaw, LLC is acting as co-manager.
The shares are being sold under the Company's previously filed shelf registration statement, which was declared effective by the Securities and Exchange Commission on May 14, 2008. This press release shall not constitute an offer to sell or a solicitation of an offer to buy any securities of the Company, nor shall there be any sale of these securities in any state or jurisdiction where such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction. The offering may be made only by means of a prospectus and the related prospectus supplement, copies of which may be obtained from Dahlman Rose & Company Prospectus Department; 212-702-4521 or ecm@dahlmanrose.com.
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FreeSeas Inc. press release