Castor Maritime Inc. Announces Closing of $17.3 Million Registered Direct Offering
Castor Maritime Inc. announced today the closing of its previously announced registered direct offering of 57,750,000 of its common shares (the “Common Shares”) and warrants to purchase Common Shares in a concurrent private placement.
Under the terms of the securities purchase agreement, the Company sold 57,750,000 Common Shares. In a concurrent private placement, the Company has issued warrants to purchase up to 57,750,000 Common Shares. The warrants are exercisable upon issuance and have an exercise price of $0.35 per share. The warrants expire 5 years from the issuance date. The purchase price for one Common Share and one warrant was $0.30. The gross proceeds to the Company from the registered direct offering and concurrent private placement are approximately $17.3 million before deducting the placement agent’s fees and other offering expenses.
Maxim Group LLC is acting as sole placement agent for the offering.
The Common Shares sold pursuant to the registered direct offering were sold pursuant to a shelf registration statement on Form F-3 (File No. 333-232052), previously filed with the Securities and Exchange Commission (the “SEC”) on June 10, 2019 and declared effective on June 21, 2019. Such securities are being offered only by means of a prospectus. A prospectus supplement and the accompanying prospectus relating to and describing the terms of the registered direct offering was filed with the SEC. The warrants sold in the concurrent private placement, along with the Common Shares underlying such warrants, have not been registered under the Securities Act of 1933, as amended (the “Securities Act”), and were offered pursuant to an exemption from the registration requirements of Section 5 of the Securities Act contained in Section 4(a)(2) thereof and/or Regulation D promulgated thereunder. Copies of the prospectus supplement and the accompanying prospectus relating to the registered direct offering may be obtained at the SEC’s website at www.sec.gov or by contacting Maxim Group LLC, 405 Lexington Avenue, 2nd Floor, New York, NY 10174, at 212-895-3745.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of, these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification of these securities under the securities laws of any such state or jurisdiction.
Source: Castor Maritime Inc.