Diana Shipping, a global shipping company specializing in the ownership and bareboat charter-in of dry bulk vessels, announced that it has increased its all-cash offer to acquire the remaining shares of Genco Shipping & Trading Limited that it does not already own to $23.50 per share. The revised proposal reflects the company’s continued effort to advance its proposed acquisition of the dry bulk shipping firm and underscores its belief in the strategic and financial benefits of the combination.
Diana currently owns approximately 14.8% of Genco’s outstanding common shares. The company initially proposed acquiring the remaining shares on November 24, 2025, offering $20.60 per share in cash. According to Diana, Genco’s board rejected that proposal without substantive engagement. The updated offer seeks to provide greater value to Genco shareholders while creating a clearer pathway toward completing the proposed transaction.
The revised $23.50 per share proposal represents a 31% premium to Genco’s undisturbed closing share price on November 21, 2025, the last trading day before Diana publicly disclosed its original proposal. Diana said the offer implies dividend yields of approximately 9.1% and 8.3% based on consensus analyst estimates of dividends per share for 2026 and 2027.
The offer also reflects a price-to-net-asset-value ratio of approximately 1.0x based on estimates from Clarksons Securities, adjusted for Genco’s recently announced dividend. According to Diana, this valuation represents a meaningful premium relative to Genco’s historical trading range for its price-to-net-asset-value ratio.
To support the proposed acquisition, Diana Shipping secured fully committed financing totaling $1.433 billion. The financing was arranged by DNB Carnegie and Nordea and includes participation from several international banks, including DNB, Nordea, BNP Paribas, Standard Chartered, Deutsche Bank, and Danske Bank. The financing package is fully underwritten and is intended to fund the acquisition, refinance existing indebtedness, and cover transaction-related expenses.
In connection with the proposed deal, Star Bulk Carriers Corp. entered into a definitive agreement with Diana Shipping to acquire 16 vessels currently owned by Genco for $470.5 million in cash upon completion. Diana stated that the agreement with Star Bulk, together with the fully committed financing, establishes a clear and executable path to completing the transaction.
Diana called on Genco’s board of directors to engage promptly and in good faith negotiations to reach a definitive agreement. The company also urged Genco shareholders to encourage the board to evaluate the proposal and consider the premium value offered.
Diana further noted that since announcing its initial proposal in November 2025, Genco’s board has not engaged constructively regarding the transaction. As a result, Diana has nominated a slate of independent director candidates for election at Genco’s upcoming annual meeting, reflecting its view that board changes may be necessary to ensure that shareholders are represented by directors willing to objectively evaluate strategic alternatives and maximize shareholder value.
Diana Shipping operates globally in the dry bulk shipping sector, transporting commodities such as iron ore, coal, grain, and other bulk materials along international trade routes through its fleet of vessels primarily employed on short- to medium-term time charters.
Star Bulk Carriers operates worldwide in the dry bulk shipping industry and transports major bulk commodities such as iron ore and grain as well as minor bulk commodities including bauxite, fertilizers, and steel products.
KEY QUOTE:
“Diana’s increased offer to acquire Genco – now supported by fully committed financing from leading banks and a definitive agreement with Star Bulk – reflects our continued conviction in the financial and strategic merits of the transaction. Together, these developments underscore our ability to quickly negotiate and execute this transaction, and we once again urge the Genco Board to immediately come to the table and engage in good faith negotiations regarding this highly compelling opportunity to deliver certain, premium value to their shareholders. We are grateful to our financial partners for their commitment, and pleased that Star Bulk – a leader in the dry bulk sector – is supportive of our efforts to acquire Genco.”
Semiramis Paliou, Chief Executive Officer of Diana Shipping Inc.
