Star Bulk Carriers Corp., announced it has entered into a conditional Sale and Purchase Agreement (the “SPA”) to acquire sixteen vessels from Diana Shipping Inc., subject to Diana successfully acquiring all issued and outstanding shares of Genco Shipping & Trading Ltd., not already owned by Diana.

The aggregate purchase price for the sixteen-vessel acquisition is $470.5 million in cash (“Purchase Price”). The SPA is subject to (i) an agreement being entered between Diana and Genco and successfully being consummated and (ii) customary conditions to S&P transactions.

The sixteen vessels that SBLK has agreed to acquire include one Newcastlemax, six Capesize vessels, seven Ultramax vessels and two Supramax vessels, with a total carrying capacity of 1.8 million dwt and an average age of 11.4 years. Assuming the successful consummation of this transaction, Star Bulk will have 157 ships on a fully delivered basis with a total carrying capacity of 15.9 million dwt and average age of 12.0 years.

The Company intends to fund the Purchase Price with a combination of existing cash resources, reserved from previous vessel sales, as well as new debt financing. The Company has received a number of offers from leading financing institutions in order to procure new senior secured debt facilities in relation to this transaction and is in the process of evaluating them. As of December 31, 2025, Star Bulk had a total cash balance of $501.9 mln while the Company currently has 27 unlevered ships with an aggregate market value of $628.0 mln and maintains access to its revolving credit facilities with total undrawn and available amount of $110.0 mln.

We believe this transaction represents a disciplined and value-enhancing capital allocation consistent with Star Bulk’s long-term shareholder strategy. The sixteen vessels will generate immediate incremental TCE revenue, EBITDA and operating cash flow to support dividend growth and deleveraging.

Mr. Petros Pappas CEO commented: “As a leading public company in the dry bulk space, we firmly believe consolidation in our sector creates value for all shareholders. We are pleased to support Diana on its proposed acquisition of Genco. We believe this en-bloc transaction allows Star Bulk to further increase its scale, earnings power and shareholder dividends, while preserving balance sheet strength and low leverage.”

Source: Star Bulk Carriers Corporation