Harry Vafias venture C3is intends to raise about $6m in an equity issue to finance future vessel purchases.
The Nasdaq-listed company aims to sell shares and warrants, according to a US Securities & Exchange Commission filing.
C3is will use the net proceeds from the sale for capital expenditures, including for payment towards the $38.7m remaining purchase price for the aframax tanker the company acquired in July 2023, it told investors.
It could also direct cash towards additional vessels, which may include further diversification into sectors other than the dry bulk and tankers.
“We plan to expand our fleet by investing in high-quality, Japanese or Korean-built dry bulk carriers, which may include vessels in class sizes ranging from handysize class vessels of 28,000-40,000 dwt to capesize class vessels of 100,000+ dwt, and tankers of potentially all sizes,” the company said.
“We also intend to take advantage of the cyclical nature of the market by buying and selling ships when we believe favourable opportunities exist.”
Proceeds can also be used for working capital or for other general corporate purposes.
C3is was listed in July 2023 after Vafias’ Imperial Petroleum spun off two handysizes into the new company.
Later in July, C3is bought the 115,800-dwt aframax tanker Afrapearl II (ex-Stealth Berana) (built 2010) from Imperial Petroleum for $43m.
The company will deploy its dry bulk carriers either on time charter trips or spot voyages of short-term duration, while its tanker will mostly be employed in the spot market as conditions are favourable in the near term, according to the filing.
“In the long run,” it said, “our fleet could potentially be employed on a mix of period charters, including time charters, which can last up to several years, and spot market charters, which generally last from one to six months, and in pools, according to our assessment of market conditions.”
As of February 1, the dry bulk handysizes were employed under time charter contracts expiring in February and March 2024, and the tanker was operating in the spot market.
In January, the company raised $7m in an underwritten public offering. Aegis Capital Corp acted as the sole book-runner.
