Castor Maritime Inc (NASDAQ:CTRM) is down after announcing earlier today that it entered into an agreement to acquire the Kamsarmax dry bulk carrier.
Market Action
As of 1:15 shares of CTRM are trading at .4646 down .035 losing 7% so far on the session. 57,800 trades have taken place and 62 million shares have changed hands. CTRM is down 76% over the last few months and if things don’t turn this stock could be headed back to the .16 cent range where it spent much of last fall.
The Agreement
The transaction is going to be done through a company’s fully owned subsidiary company and the purchase price of the Japanese manufactured carrier is pegged at $21 million. The transaction is going to be completed once the delivery of the carrier is completed at some point in the second or third quarter.
The Chief Executive Officer of Castor Maritime, Petros Panagiotidis, spoke about the latest development as well. He stated that the acquisition of the new carrier is part of the company’s larger strategy with regards to further expansion. He went on to state that once the acquisition is completed Castor Maritime is going to have 24 vessels in total spanning the tanker and dry bulk segments.
Petros Panagiotidis, Chief Executive Officer of Castor, commented: “We continue to steadily execute our expansion plan with the addition of another Kamsarmax dry bulk vessel, to Castor’s fleet. Upon completion of all our announced acquisitions, our fleet will consist of 24 vessels across the dry bulk and tanker segments.”
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