The shipping company priced its 11 million share public offering at $7.30 a share. Underwriters will be given a 30-day option to purchase up to an additional 1.65 million common shares.
Tsakos Energy Navigation expects gross proceeds of about $80.3 million from the public offering. The company will use the net proceeds from the offering to pay for the expansion and modernization of its fleet through its vessel acquisition program which includes installment payments on an existing crude oil carrier newbuilding program. The net proceeds will also be used for general corporate purposes.
The offering is expect to close on or about April 29.
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TheStreet Ratings team rates TSAKOS ENERGY NAVIGATION LTD as a Hold with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation:
"We rate TSAKOS ENERGY NAVIGATION LTD (TNP) a HOLD. The primary factors that have impacted our rating are mixed -- some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including unimpressive growth in net income, generally higher debt management risk and weak operating cash flow."