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EuroDry Ltd. Announces Agreement to Sell M/V Tasos, a 2000-built Panamax Bulk Carrier

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ATHENS, Greece, Feb. 05, 2025 (GLOBE NEWSWIRE) -- EuroDry Ltd. (NASDAQ: EDRY, the “Company” or “Euro...

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AI Summary

EuroDry sold M/V Tasos for $5 million, enhancing liquidity. They anticipate a gain of $2.1 million, boosting shareholder value. The fleet remains strong with 12 vessels post-sale. The sale aligns with EuroDry's strategic focus on efficient assets. Future investments are expected as market conditions permit.

Sentiment Rationale

The vessel sale improves liquidity and potential for future investments, enhancing value. Past asset sales have positively influenced EuroDry's stock price due to improved metrics.

Trading Thesis

Sale proceeds will have immediate liquidity benefits, potentially impacting upcoming earnings. Historically, liquidity events correlate with positive short-term stock performance.

Market-Moving

  • EuroDry sold M/V Tasos for $5 million, enhancing liquidity.
  • They anticipate a gain of $2.1 million, boosting shareholder value.
  • The fleet remains strong with 12 vessels post-sale.

Key Facts

  • EuroDry sold M/V Tasos for $5 million, enhancing liquidity.
  • They anticipate a gain of $2.1 million, boosting shareholder value.
  • The fleet remains strong with 12 vessels post-sale.
  • The sale aligns with EuroDry's strategic focus on efficient assets.
  • Future investments are expected as market conditions permit.

Companies Mentioned

  • EDRY (EDRY)

Corporate Developments

The article outlines a significant corporate action that impacts liquidity and future growth strategies, influencing shareholder confidence. Such moves often result in immediate market reactions.

February 05, 2025 09:25 ET  | Source: EuroDry Ltd. ATHENS, Greece, Feb. 05, 2025 (GLOBE NEWSWIRE) -- EuroDry Ltd. (NASDAQ: EDRY, the “Company” or “EuroDry”), an owner and operator of drybulk vessels and provider of seaborne transportation for drybulk cargoes, announced today that it has signed an agreement to sell M/V Tasos, a 75,100 dwt drybulk vessel, built in 2000, for demolition, for approximately $5 million. The vessel is expected to be delivered to its buyers, an unaffiliated third party, between mid-February and mid-March 2025, upon completion of her present charter. Aristides Pittas, Chairman and CEO of EuroDry, commented: “We are pleased to announce our agreement to sell of our M/V Tasos, the eldest Panamax-size bulker of our fleet which was due for a costly fifth special survey, for recycling. As a result of this sale, we expect to book a gain of approximately $2.1 million, or about $0.75 per share. The net proceeds of this sale will increase our near-term liquidity and enable us to quickly capitalize on accretive investment opportunities in the sector, when they arise, for the benefit of our shareholders.” Fleet Profile: The EuroDry Ltd. fleet profile, after the sale of M/V Tasos, is as follows: Name TypeDwtYear BuiltEmployment(*)TCE Rate ($/day)Dry Bulk Vessels     EKATERINIKamsarmax82,0002018TC until Mar-25Hire 105.5% of the Average Baltic Kamsarmax P5TC index (**)XENIAKamsarmax82,0002016TC until Apr-25Hire 108% of the Average Baltic Kamsarmax P5TC index(**)ALEXANDROS P.Ultramax63,5002017TC until Mar-25$12,000CHRISTOS K***Ultramax63,1972015TC until Mar-25$5,300YANNIS PITTASUltramax63,1772014TC until Feb-25$5,000MARIA***Ultramax63,1532015TC until Feb-25$6,100GOOD HEARTUltramax62,9962014TC until Mar-25$7,300MOLYVOS LUCKSupramax57,9242014TC until Mar-25$5,900EIRINI PPanamax76,4662004TC until Mar-25$5,350SANTA CRUZPanamax76,4402005TC until Apr-25$6,200STARLIGHTPanamax75,8452004TC until Feb-25$4,650BLESSED LUCKPanamax76,7042004TC until Mar-25$1,700Total Dry Bulk Vessels12843,402    Vessels under constructionTypeDwtTo be deliveredSBC XY164Ultramax63,500Q2 2027SBC XY166Ultramax63,500Q3 2027Total under construction2127,000  Note:  (*)      Represents the earliest redelivery date(**)    The average Baltic Kamsarmax P5TC Index is an index based on five Panamax time charter routes.(***)   Vessel is 61% owned by EuroDry Ltd. About EuroDry Ltd.EuroDry Ltd. was formed on January 8, 2018 under the laws of the Republic of the Marshall Islands to consolidate the drybulk fleet of Euroseas Ltd. into a separate listed public company. EuroDry was spun-off from Euroseas Ltd on May 30, 2018; it trades on the NASDAQ Capital Market under the ticker EDRY. EuroDry operates in the dry cargo, drybulk shipping market. EuroDry's operations are managed by Eurobulk Ltd., an ISO 9001:2008 and ISO 14001:2004 certified affiliated ship management company and Eurobulk (Far East) Ltd. Inc., which are responsible for the day-to-day commercial and technical management and operations of the vessels. EuroDry employs its vessels on spot and period charters and under pool agreements.After the sale of M/V Tasos, the Company has a fleet of 12 vessels, including 2 Kamsarmax drybulk, 4 Panamax drybulk carriers, 5 Ultramax drybulk carriers, and 1 Supramax drybulk carrier. EuroDry’s 12 drybulk carriers have a total cargo capacity of 843,402 dwt. On a fully delivered basis, the Company’s fleet will increase to 14 drybulk ships with a cargo capacity of about 970,402 dwt. Forward Looking StatementThis press release contains forward-looking statements (as defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended) concerning future events and the Company's growth strategy and measures to implement such strategy; including expected vessel acquisitions and entering into further time charters. Words such as "expects," "intends," "plans," "believes," "anticipates," "hopes," "estimates," and variations of such words and similar expressions are intended to identify forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. These statements involve known and unknown risks and are based upon a number of assumptions and estimates that are inherently subject to significant uncertainties and contingencies, many of which are beyond the control of the Company. Actual results may differ materially from those expressed or implied by such forward looking statements. Factors that could cause actual results to differ materially include, but are not limited to changes in the demand for dry bulk vessels, competitive factors in the market in which the Company operates; risks associated with operations outside the United States; and other factors listed from time to time in the Company's filings with the Securities and Exchange Commission. The Company expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company's expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based.  Visit our website www.eurodry.gr Company ContactInvestor Relations / Financial MediaTasos AslidisChief Financial OfficerEuroDry Ltd.11 Canterbury Lane,Watchung, NJ 07069Tel. (908) 301-9091E-mail: aha@eurodry.grNicolas BornozisMarkella KaraCapital Link, Inc.230 Park Avenue, Suite 1540New York, NY 10169Tel. (212) 661-7566E-mail: eurodry@capitallink.com

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