Omega Navigation Enterprises Announces Capital Injection by Founder and CEO
05 Agosto 2010 - 10:05PM
Marketwired
Omega Navigation Enterprises, Inc. (NASDAQ: ONAV) (SGX: ONAV50), a
provider of global marine transportation services focusing on
product tankers, announced today that it agreed to a capital
infusion of $5.25 million through a loan by its founder, CEO and
largest shareholder, Mr. George Kassiotis.
The capital infusion will be made through a company owned and
controlled by George Kassiotis in the form of a secured convertible
promissory note which, under certain circumstances and at the
option of the holder, may be convertible into a maximum of 8.75
million common shares of the Company at any time after the one year
anniversary of the Note or upon an event of default under the Note.
Interest on the Note will be 4.0% per annum. The capital infusion
will be used to satisfy short term liquidity requirements and fund
part of the contracted equity contributions for the Company's
newbuilding program through its Joint Venture Company MegaCore
Shipping Ltd, with the target of improving long-term
profitability.
The capital infusion is being made at a time when the Company is
in discussions with its lenders to extend the term of its current
loans beyond the current maturity of April 2011. The Company
believes that the capital infusion should facilitate the loan
extension as well as further enhancing other relationships with key
business partners.
Mr. George Kassiotis, founder, CEO, commented, "I have agreed to
provide capital to Omega to address short term liquidity
requirements and strengthen its balance sheet. This capital
infusion further shows my ongoing commitment and support to and
confidence in the Company and its prospects, especially as it is
made in a very challenging and uncertain economic environment and
should allow the Company to continue with its growth plans. It
further aligns my interests with those of the Company and our other
shareholders in light of my continuous position as Omega's largest
shareholder since our IPO in 2006. I, along with the rest of the
Board of Directors and our senior management team, remain fully
committed to making Omega a leading participant in the product
tanker sector, as well as delivering long term shareholder
value."
About Omega Navigation Enterprises, Inc.
Omega Navigation Enterprises, Inc. is an international provider of
global marine transportation services through the ownership and
operation of double hull product tankers. The current fleet
includes twelve hull product tankers with a carrying capacity of
about 680,000 dwt, of which two double hull product / chemical
tankers, with a capacity of 47,000 dwt, and two double hull product
/ chemical tankers, with a capacity of 37,000 dwt., are owned
through equal partnership joint ventures with a wholly owned
subsidiary of Glencore International, A.G. Furthermore, as
previously announced, the joint venture company has entered into
shipbuilding contracts with Hyundai Mipo Dockyard in South Korea,
to construct and acquire seven additional double hull product
tankers with a capacity of 74,000 dwt each scheduled for delivery
between October 2010 and early 2012.
The Company was incorporated in the Marshall Islands in February
2005. Its principal executive offices are located in Athens, Greece
and it also maintains an office in the United States.
Omega Navigation's common shares are traded on the NASDAQ
National Market under the symbol "ONAV" and are also listed on the
Singapore Exchange Securities Trading Limited under the symbol
"ONAV 50".
Cautionary Statement Regarding Forward-Looking
Statements Matters discussed in this press release may
constitute forward-looking statements. The Private Securities
Litigation Reform Act of 1995 provides safe harbor protections for
forward-looking statements in order to encourage companies to
provide prospective information about their business.
Forward-looking statements include statements concerning plans,
objectives, goals, strategies, future events or performance, and
underlying assumptions and other statements, which are other than
statements of historical facts.
The Company desires to take advantage of the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995
and is including this cautionary statement in connection with this
safe harbor legislation. The words "believe," "anticipate,"
"intends," "estimate," "forecast," "project," "plan," "potential,"
"will," "may," "should," "expect" "pending" and similar expressions
identify forward-looking statements.
The forward-looking statements in this press release are based
upon various assumptions, many of which are based, in turn, upon
further assumptions, including without limitation, the Company's
management's examination of historical operating trends, data
contained in the Company's records and other data available from
third parties. Although the Company believes that these assumptions
were reasonable when made, because these assumptions are inherently
subject to significant uncertainties and contingencies which are
difficult or impossible to predict and are beyond the Company's
control, the Company cannot assure you that the Company will
achieve or accomplish these expectations, beliefs or
projections.
In addition to these important factors other important factors
that, in the Company's view, could cause actual results to differ
materially from those discussed in the forward-looking statements
include the strength of world economies and currencies, general
market conditions, including fluctuations in charter rates and
vessel values, changes in demand for product tanker and dry bulk
shipping capacity, changes in the Company's operating expenses,
including bunker prices, drydocking and insurance costs, the market
for the Company's vessels, availability of financing and
refinancing, changes in governmental rules and regulations or
actions taken by regulatory authorities, potential liability from
pending or future litigation, general domestic and international
political conditions, potential disruption of shipping routes due
to accidents or political events, vessels breakdowns and instances
of off-hires and other factors. Please see the Company's filings
with the Securities and Exchange Commission for a more complete
discussion of these and other risks and uncertainties.
Contacts: Company Contact: Gregory A. McGrath
Chief Financial Officer Omega Navigation Enterprises, Inc. PO Box
272 Convent Station, NJ 07961 Tel. (551) 580-0532 E-mail:
gmcgrath@omeganavigation.com www.omeganavigation.com Investor
Relations / Financial Media: Nicolas Bornozis President Capital
Link, Inc. 230 Park Avenue, Suite 1536 New York, NY 10169 Tel.
(212) 661-7566 E-mail: omeganavigation@capitallink.com
www.capitallink.com
Grafico Azioni Omega Navigation Enterprises, Inc. (MM) (NASDAQ:ONAV)
Storico
Da Ago 2024 a Set 2024
Grafico Azioni Omega Navigation Enterprises, Inc. (MM) (NASDAQ:ONAV)
Storico
Da Set 2023 a Set 2024