Business
EuroDry Ltd. Announces Agreement to Acquire M/V Santa Cruz, a 2005-built Panamax Bulker
ATHENS, Greece, April 19, 2022 (GLOBE NEWSWIRE) -- EuroDry Ltd. (NASDAQ: EDRY, the “Company” or “EuroDry”), an owner and operator of drybulk vessels and
About this update from Eurodry Ltd.
[{"type":"text","content":"ATHENS, Greece, April 19, 2022 (GLOBE NEWSWIRE) -- EuroDry Ltd. (NASDAQ: EDRY, the “Company” or “EuroDry”), an owner and operator of drybulk vessels and provider of seaborne transportation for drybulk cargoes, announced today that it has agreed to acquire M/V Santa Cruz, a 76,440 dwt drybulk vessel built in 2005, for $15.75 million. The vessel was controlled by an un-affiliated third party and has been managed by Eurobulk Ltd., also the manager of the majority of the Company’s vessels. The vessel is expected to be delivered to the Company around the end of April 2022. The Company will also assume the existing charter of the vessel at $14,800 per day until July 2022. The acquisition will be financed with own funds. Aristides Pittas, Chairman and CEO of EuroDry commented: “We are pleased to announce the acquisition of M/V Santa Cruz, a Panamax, drybulk carrier built in 2005. This acquisition further expands our fleet at a time when the market fundamentals are quite supportive within the context of geopolitical uncertainties. Demand is expected to remain strong, supported by the huge demand for energy and infrastructure projects that have been announced by various governments while fleet growth is expected to be limited as evidenced by the historically low levels of the orderbook. At current market rates, we expect that M/V Santa Cruz will make a significant contribution to our net income and EBITDA. The accumulation of funds that our fleet generates provides us with significant fleet expansion capabilities and other shareholder reward options and we will continue pursuing those most appropriate for the benefit of our shareholders at any given point.” Fleet Profile: After the delivery of the M/V Santa Cruz, the EuroDry Ltd. fleet profile will be as follows: Name TypeDwtYear BuiltEmployment(*)TCE Rate ($/day)Dry Bulk Vessels EKATERINIKamsarmax82,0002018TC until May-22Hire 106% of the Average Baltic Kamsarmax P5TC (***) indexALEXANDROS P.Ultramax63,5002017TC until May-22$26,250XENIA*Kamsarmax82,0002016TC until Aug-22Hire 105% of theAverage Baltic Kamsarmax P5TC(***) indexGOOD HEART*Ultramax62,9962014TC until Oct-22$25,000MOLYVOS LUCKSupramax57,9242014TC until May-22TC until Apr-23$13,250$25,750SANTA CRUZPanamax76,4402005TC until Jul-22$14,800BLESSED LUCKPanamax76,7042004TC until Jul-22$19,500EIRINI P.*Panamax76,4662004TC until May-22...