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• Issue Price of 127 pence per Share, representing a discount of 1.55 per cent. to the Closing Price on 24 June 2010 • 18,496,010 New Shares to be issued and available under the Open Offer to Shareholders, pro rata to their existing holdings, on the basis of: 1 New Share for every 3.9183531 Existing Shares • Net proceeds are to be used to fund future vessel acquisitions • The Board believes that the recent increase in charter hire rates will enable employment of such vessels under medium to long-term charters at attractive rates, optimizing returns while minimizing cash flow volatility • The Placing and Open Offer are conditional, inter alia, on the approval of the Capital Raising Resolutions at an Extraordinary General Meeting of the Company to be held on 19 July 2010 • Captain Paris Dragnis, the founder and Chief Executive Officer of the Company has irrevocably agreed to take up the majority of his pro-rata entitlement under the Open Offer • The Placing and Open Offer is fully underwritten by the Joint Underwriters • Admission of the New Shares to listing on the Official List and to trading on the London Stock Exchange is expected to take place on 20 July 2010 Publication of Prospectus The Prospectus containing details of the Placing and Open Offer will shortly be approved by the UKLA. A paper copy of the Prospectus will be posted today to Shareholders and also made available in electronic form on the Company's website at www.goldenport.biz. Captain Paris Dragnis, Founder and Chief Executive Officer of the Company commented: "Consistent with our strategy of prudent and properly timed growth, we seek to take advantage of the gradual global economic recovery and the improving fundamentals of the shipping industry. Our objective is to reinforce our Company's ability to continue pursuing accretive acquisitions. "Our Company has a visible track record of value creation taking advantage of market opportunities. Since our IPO in April 2006, we have transformed our fleet from 17 vessels, 8 container and 9 dry bulk carriers, to 25 vessels, 11 containers and 14 dry bulk carriers, with a much younger age profile and a significant increase in capacity. We achieved this without sacrificing the health of our balance sheet and we maintained a regular dividend rewarding our shareholders even during the most difficult periods. "Today, Goldenport comprises a large and modern fleet balanced between the container and dry bulk markets providing us with operational flexibility and stability. We enjoy significant cash flow visibility with upside potential, given that as of June 18, 2010, 89% of the combined available fleet days for 2010 and 63% for 2011 are fixed under time charter agreements with reputable counterparties. Finally, Goldenport is in a strong financial condition with adequate access to bank financing. "Management maintains a significant shareholding in Goldenport, thereby aligning our interest with all other shareholders. Furthermore, we have agreed to take up the majority of our pro-rata entitlement under the Open Offer, thereby tangibly demonstrating our continued support of our Company and our belief in its prospects." Source: Goldenport Holdings Inc |
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Proposed Placing and Open