Pangaea Logistics Expands Fleet with $271M Acquisition
Deal News | Jan 07, 2025 | EIN
Pangaea Logistics Solutions has completed a significant acquisition of fifteen handy-size vessels from Strategic Shipping Inc., managed by M.T. Maritime Management, for a total value of $271 million. This strategic move, closed on December 30, 2024, involved Pangaea issuing about 18 million shares to Strategic Shipping, giving them a 27.6% stake in the company. The acquisition expanded Pangaea's fleet by nearly 60%, now consisting of 41 bulk carriers. The company aims to utilize the expanded fleet to better serve its clients, who transport a wide range of dry bulk commodities. The merger was supported by DNB Markets, Inc. as the financial advisor and Seward & Kissel LLP as the legal counsel, positioning Pangaea in a competitive stance within the maritime logistics sector.
Sectors
- Maritime Logistics
Geography
- United States – The transaction involves companies located in the United States, specifically with M.T. Maritime Management based in Connecticut.
Industry
- Maritime Logistics – Pangaea Logistics operates within the maritime logistics sector, acquiring vessels to enhance its capabilities in transporting dry bulk cargo.
Financials
- $271 million – Total value of the vessel acquisition deal.
- $100 million – Assumed vessel financing included in the acquisition.
- $171 million – Net asset value of the acquired vessels.
- 18 million shares – Shares of common stock issued by Pangaea to SSI.
- 27.6% – Stake in Pangaea Logistics held by SSI post-transaction.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Pangaea Logistics Solutions | Buyer | Company | A maritime logistics company involved in dry bulk cargo transportation. |
| Strategic Shipping Inc. | Vendor | Company | A privately held company managed by M.T. Maritime Management involved in the transaction as the seller. |
| M.T. Maritime Management (USA) LLC | Management | Company | Management company overseeing Strategic Shipping Inc. based in Southport, Connecticut. |
| DNB Markets, Inc. | Financial Advisor | Company | Provided financial advisory services for the merger. |
| Seward & Kissel LLP | Legal Counsel | Company | Provided legal advisory services for the merger. |
| Mark Filanowski | CEO | Person | Chief Executive Officer of Pangaea Logistics Solutions. |