Another dry bulk shipping company goes public

Another dry bulk shipping company goes public Britannia Bulk Holdings Inc said. it has commenced an initial public offering of shares of its common stock and applied to list on the New York Stock Exchange.
   The London-based company said it plans to sell 8.33 million shares of stock at $17 to $19 per share in a registration statement filed with the Securities and Exchange Commission. Underwriters have the option to sell an additional 1.25 million shares.
   The company said net proceeds from the offering will be about $136 million, based on an offering price of $18 per share and after deducting estimated offering expenses of $14 million.
   The company said the funds would be used for repayment and refinancing of existing debt and for general corporate purposes.
   The company has a fleet of 22 vessels, including 13 dry bulk vessels (five of which are ice-class), five oceangoing ice-class barges, and four ice-class tugs.
   It has also contracted to purchase an additional six Panamax ice-class dry bulk vessels, which are to be delivered between June 2009 and September 2010. Those ships will boost its owned capacity by about 72 percent to more than 1 million deadweight tons.
   “This expansion of our fleet will not only provide a base from which to significantly grow our revenue and earnings in the future, but will also extend our leading position in ice-class service,” the company said.