Diana and Genco Trade Fire Before Tender Deadline
The takeover fight between Diana Shipping and Genco Shipping & Trading has turned sharper in the final stretch before Diana’s tender offer deadline.
Genco Urges Shareholders Not to Tender
Genco urged shareholders not to tender into Diana’s offer, saying the live tender was for $24.80 per share in cash and not the $27.34 per share cash-and-stock proposal Diana has been promoting.
The New York-listed bulker owner said Diana had taken two separate actions: a tender offer at $24.80 per share in cash and a separate non-binding proposal to the Genco board made up of $24.80 in cash plus one Diana share.
Diana Hits Back
Diana hit back hours later, asking why Genco was “so afraid” of the tender offer and accusing the board of relying on technical arguments instead of negotiating.
The Semiramis Paliou-led owner said shareholders tendering into the offer were sending a message that Genco should come to the table.
Tender Offer Update
Diana said 10.6m Genco shares, equal to 28.4% of the outstanding shares not owned by Diana, had been tendered as of June 26.
Diana owns more than 14% of Genco and has set the tender deadline for July 10 at 5pm New York time.
Valuation Dispute
The company has said its latest proposal values Genco at $27.34 per share, made up of $24.80 in cash and one Diana share valued at $2.54.
Genco has maintained that the tender offer itself remains cash-only at $24.80 per share and has urged shareholders not to tender.
- Diana’s tender offer deadline is July 10 at 5pm New York time
- Genco has urged shareholders not to tender into Diana’s offer
- Diana has accused Genco of relying on technical arguments instead of negotiating