Performance Shipping Inc. (NASDAQ: PSHG) (“Performance Shipping” or the “Company”) announced today the successful placement of USD 100 million in senior secured bonds in the Nordic bond market. The bonds are scheduled to mature in July 2029 and carry a fixed annual coupon rate of 9.875%, payable semi-annually in arrears. The bonds were priced at 97% of par.
The Company intends to apply for the bonds to be listed on the Oslo Stock Exchange.
As part of the transaction, the bonds are secured in part by first-priority mortgages on the Company’s two oldest tanker vessels, which are currently unencumbered. The bond issuance is expected to close on July 17, 2025, subject to customary closing conditions.
Performance Shipping plans to use the net proceeds from the offering for the acquisition of additional tanker vessels or to repurchase existing bonds.
The bonds will be offered in the United States only to qualified institutional buyers under Rule 144A of the U.S. Securities Act of 1933, as amended (the “Securities Act”), and outside the United States exclusively to non-U.S. persons in accordance with Regulation S of the Securities Act. The securities have not been and will not be registered under the Securities Act or any state securities laws and may not be offered or sold in the United States without an applicable exemption from registration.
This announcement does not constitute an offer to sell or a solicitation of an offer to buy any securities of Performance Shipping Inc., nor does it constitute an offer or sale in any jurisdiction where such offer or sale would be unlawful. This press release is being issued in accordance with Rule 135c under the Securities Act.