NEW YORK, May 27, 2014 /PRNewswire/ -- Genco Shipping & Trading Limited (OTC Pink: GNKOQ) announced today the subscription deadline for the rights offering to acquire common stock being conducted pursuant to the terms of its Prepackaged Plan of Reorganization under Chapter 11 of the Bankruptcy Code has been extended to 5:00 p.m. Eastern Time on June 18, 2014. The subscription deadline was previously set to expire at 5:00 p.m. Eastern Time on May 29, 2014.
Holders of Genco's 5% Convertible Senior Notes due August 15, 2015 seeking to participate in the rights offering must cause their broker or other securities nominee to take action no later than 5:00 p.m. Eastern Time on June 17, 2014.
On April 21, 2014, Genco and certain of its direct and indirect debtor subsidiaries commenced cases under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the Southern District of New York. Contemporaneously with the commencement of their cases, Genco and the other debtors filed a Prepackaged Plan of Reorganization pursuant to Chapter 11 of the Bankruptcy Code. The rights offering is being conducted pursuant to the terms of the plan, and is subject to confirmation of the plan by the bankruptcy court.
The offering gives holders of claims under Genco's prepetition 2007 credit facility the right to subscribe for a number of shares equal to the principal amount of the claims beneficially owned multiplied by 0.0040677811524029, at a subscription price of $18.62537 per share of common stock. The offering gives convertible noteholders the right to subscribe for a number of shares equal to the principal amount of the notes beneficially owned multiplied by 0.008590432, at a subscription price of $18.62537 per share of common stock. Only holders of 2007 credit facility claims and convertible notes that are qualified institutional buyers or accredited investors are eligible to participate in the rights offering.
While the rights offering expires on June 18, 2014 at 5:00 PM Eastern Time, the procedures for exercising the rights through the facilities of the Depository Trust Company by convertible noteholders require that action be taken by brokers and other securities nominees on behalf of their clients no later than June 17, 2014 at 5:00 p.m. Eastern Time in order to exercise the rights by the expiration time. Holder of the convertible notes who wish to participate in the rights offering should assure that timely instructions are delivered to their broker or other securities nominee, so that the nominee may act by June 17, 2014.
Additional information concerning the rights offering and the relevant deadlines may be obtained by contacting the Company's Subscription Agent, GCG, Inc., by telephone at (888) 213-9318 (toll-free) or (614) 763-6125 (international toll) or by e-mail at email@example.com. Information about the rights offering, and the Company's bankruptcy reorganization, can also be found on the Company's restructuring website, www.gencorestructuring.com.
About Genco Shipping & Trading Limited
Genco Shipping & Trading Limited transports iron ore, coal, grain, steel products and other drybulk cargoes along worldwide shipping routes. Excluding Baltic Trading Limited's fleet, we own a fleet of 53 drybulk vessels, consisting of nine Capesize, eight Panamax, 17 Supramax, six Handymax and 13 Handysize vessels, with an aggregate carrying capacity of approximately 3,810,000 dwt. In addition, our subsidiary Baltic Trading Limited currently owns a fleet of 13 drybulk vessels, consisting of four Capesize, four Supramax, and five Handysize vessels. References to Genco's vessels and fleet in this press release exclude vessels owned by Baltic Trading Limited.
SOURCE Genco Shipping & Trading Limited