Castor Maritime Inc. Announces Results of its 2020 Annual General Meeting of Shareholders

Rhea-AI Summary

Castor Maritime Inc. (NASDAQ: CTRM) held its Annual Meeting of Shareholders on November 25, 2020. Key outcomes include the re-election of Petros Panagiotidis as Class C Director and the appointment of Deloitte as independent auditors for 2020. Notably, the board was granted authority for potential reverse stock splits, up to a ratio of one-for-75, as part of a strategy to maintain compliance with Nasdaq’s $1.00 minimum bid price requirement. The company will monitor its stock price to ensure its continued listing on the exchange.

Positive

• Re-election of Petros Panagiotidis strengthens leadership continuity.
• Appointment of Deloitte as independent auditors enhances credibility.
• Potential reverse stock split could help maintain Nasdaq listing.

Negative

• Need for reverse stock split indicates current stock price issues.
• Company risks delisting if compliance with Nasdaq requirements is not met.

LIMASSOL, Cyprus, Nov. 27, 2020 (GLOBE NEWSWIRE) -- Castor Maritime Inc. (NASDAQ: CTRM), (“Castor” or the “Company”), a global shipping company specializing in the ownership of dry bulk vessels, announces today that the Company’s Annual Meeting of Shareholders (the “Meeting”) was duly held on November 25, 2020 at 9:00 a.m., local time, at the offices of Seward & Kissel LLP, One Battery Park Plaza, New York, New York 10004.

At the Meeting, each of the following proposals were approved and adopted:

1. The re-election of Mr. Petros Panagiotidis to serve as Class C Director until the 2023 Annual Meeting of Shareholders;
   
   
2. The appointment of Deloitte Certified Public Accountants S.A. as the Company’s independent auditors for the fiscal year of 2020; and
   
   
3. The granting of discretionary authority to the Company’s board of directors (the “Board”) to effect one or more reverse stock splits of the Company’s issued common shares, at a ratio of not less than one-for-two and not more than one-for-75 and in the aggregate at a ratio of not more than one-for-75, inclusive, with the exact ratio to be set at a whole number within this range to be determined by the Board, or any duly constituted committee thereof, and to authorize the Board to implement any such reverse stock split by filing any such amendment to the Company’s Articles of Incorporation with the Registrar of Corporations of the Republic of the Marshall Islands at any time following such approval.
   

The Company continues to monitor the closing bid price of its common shares during the compliance period and intends to take all necessary steps to regain compliance with the Nasdaq Capital Market (“Nasdaq”) $1.00 minimum bid price per share requirement and to maintain its Nasdaq listing, including by effecting a reverse stock split consolidating the Company’s issued and outstanding shares. The Company can also cure this deficiency if the closing bid price of its common shares is $1.00 per share or higher for at least ten consecutive business days during the grace period, which includes the temporary COVID-19 relief period. In the event the Company does not regain compliance within the grace period and meets all other listing standards and requirements, the Company may be eligible for an additional 180-day grace period. During this time, the Company's common shares will continue to be listed and trade on the Nasdaq.

About Castor Maritime Inc.

Castor Maritime Inc. is an international provider of shipping transportation services through its ownership of dry bulk vessels. The Company’s vessels are employed primarily on medium-term charters and transport a range of dry bulk cargoes, including such commodities as coal, grain and other materials along worldwide shipping routes.

The Company's fleet currently consists of six Panamax dry bulk vessels.

For more information please visit the Company’s website at www.castormaritime.com

Cautionary Statement Regarding Forward-Looking Statements

Matters discussed in this press release may constitute forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements in order to encourage companies to provide prospective information about their business. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements, which are other than statements of historical facts. The Company desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with this safe harbor legislation. The words “believe,” “anticipate,” “intend,” “estimate,” “forecast,” “project,” “plan,” “potential,” “will,” “may,” “should,” “expect,” “pending” and similar expressions identify forward-looking statements. The forward-looking statements in this press release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, our management’s examination of historical operating trends, data contained in our records and other data available from third parties. Although we believe that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond our control, we cannot assure you that we will achieve or accomplish these expectations, beliefs or projections. We undertake no obligation to update any forward-looking statement, whether as a result of new information, future events or otherwise. In addition to these important factors, other important factors that, in the Company’s view, could cause actual results to differ materially from those discussed in the forward‐looking statements include general dry bulk shipping market conditions, including fluctuations in charterhire rates and vessel values, the strength of world economies the stability of Europe and the Euro, fluctuations in interest rates and foreign exchange rates, changes in demand in the dry bulk shipping industry, including the market for our vessels, changes in our operating expenses, including bunker prices, dry docking and insurance costs, changes in governmental rules and regulations or actions taken by regulatory authorities, potential liability from pending or future litigation, general domestic and international political conditions, potential disruption of shipping routes due to accidents or political events, the length and severity of the COVID-19 outbreak, the impact of public health threats and outbreaks of other highly communicable diseases, the impact of the expected discontinuance of LIBOR after 2021 on interest rates of our debt that reference LIBOR, the availability of financing and refinancing and grow our business, vessel breakdowns and instances of off‐hire, potential exposure or loss from investment in derivative instruments, potential conflicts of interest involving our Chief Executive Officer, his family and other members of our senior management, and our ability to complete acquisition transactions as planned. Please see our filings with the Securities and Exchange Commission for a more complete discussion of these and other risks and uncertainties. The information set forth herein speaks only as of the date hereof, and the Company disclaims any intention or obligation to update any forward‐looking statements as a result of developments occurring after the date of this communication.

CONTACT DETAILS
For further information please contact:

Petros Panagiotidis
Castor Maritime Inc.
Email: ir@castormaritime.com

Media Contact:
Kevin Karlis
Capital Link
Email: castormaritime@capitallink.com

FAQ

What significant decisions were made at Castor Maritime's Annual Meeting on November 25, 2020?

The meeting resulted in the re-election of Petros Panagiotidis as Class C Director, the appointment of Deloitte as independent auditors, and granting the board authority for potential reverse stock splits.

How does the reverse stock split affect Castor Maritime's compliance with Nasdaq?

The reverse stock split is a strategy to regain compliance with Nasdaq's $1.00 minimum bid price requirement.

What is the current status of Castor Maritime's fleet?

Castor Maritime currently operates a fleet of six Panamax dry bulk vessels.

What are the implications of the AGM for Castor Maritime shareholders?

Shareholders should monitor the company's compliance with Nasdaq requirements and the potential effects of a reverse stock split.

When is the next Annual Meeting of Shareholders for Castor Maritime?

The next Annual Meeting is expected in 2023, as indicated by the re-election term of Mr. Panagiotidis.