Contact Information: Investor Relations / Media: Nicolas Bornozis Capital Link, Inc. (New York) Tel. 212-661-7566 E-mail: nbornozis@capitallink.com SK 23113 0002 714878
DryShips Management and Major Shareholders to Increase Shareholding in DryShips
| Source: DryShips Inc.
ATHENS, GREECE -- (MARKET WIRE) -- October 24, 2006 -- DryShips Inc. (NASDAQ : DRYS ) announced that
the Company's Board of Directors today agreed to the request of the
Company's major shareholders to reinvest the dividend payment that they are
scheduled to receive on Tuesday, October 31, 2006, in DryShips shares. In
addition, the Board of Directors also agreed to the request of a company
related to the Company's Chairman and Chief Executive Officer George
Economou to accept repayment of an outstanding loan together with interest,
in DryShips shares.
The three major shareholders who will reinvest their dividends in DryShips
shares are companies related to Mr. Economou and members of his family or
to his former wives and they currently own an aggregate of approximately
15.4 million shares. The dividend, in the amount of $0.20 per share, was
declared on September 22, 2006, and is payable on Tuesday, October 31,
2006, to shareholders of record as of September 29, 2006.
As a result of the agreement, an aggregate of $3,080,080 in dividends is
expected to be reinvested in DryShips shares by these three shareholders.
The loan from the company related to Mr. Economou represents a seller's
credit related to the Company's purchase of the MV Hille Oldendorf as
announced on March 28, 2006, and together with interest amounts to
$3,327,435.
The price to be paid as consideration for issuance of new DryShips shares
will equal the average closing price of DryShips common stock on the Nasdaq
Global Market over the 8 trading days ending October 24, 2006.
Mr. George Economou, Chairman and Chief Executive Officer of DryShips,
commented: "These agreements approved by the Board of Directors, enabling
management to increase its shareholding in DryShips, are a clear indication
of our confidence in the Company's prospects and growth potential.
Management has the largest stake in DryShips and has not sold any of its
shares since the IPO. We believe that our company is strategically
positioned to take advantage of the strong drybulk market and to continue
driving industry consolidation should accretive opportunities arise."
The shares to be issued in connection with the agreements discussed in this
release have not been registered with the Securities and Exchange
Commission for resale and are "restricted securities" as that term is
defined in SEC rules.
About DryShips Inc.
DryShips Inc., based in Greece, is an owner and operator of drybulk
carriers that operate worldwide. As of the day of this Release, DryShips
owns a fleet of 34 drybulk carriers consisting of 4 Capesize, 27 Panamax
and 3 Handymax vessels, with a combined deadweight tonnage of approximately
2.7 million. DryShips maintains its executive offices in Greece. The
company has also two Panamax new buildings on order with deliveries
scheduled for the end of 2009 and beginning of 2010.
DryShips Inc.'s common stock is listed on NASDAQ Global Market where it
trades under the symbol "DRYS."
Forward-Looking Statements
Matters discussed in this release may constitute forward-looking
statements. Forward-looking statements reflect our current views with
respect to future events and financial performance and may 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 forward-looking statements
in this release are based upon various assumptions, many of which are
based, in turn, upon further assumptions, including without limitation,
management's examination of historical operating trends, data contained in
our records and other data available from third parties. Although DryShips
Inc. believes 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, DryShips Inc. cannot assure you that it will achieve or
accomplish these expectations, beliefs or projections. Important factors
that, in our view, could cause actual results to differ materially from
those discussed in the forward-looking statements include the strength of
world economies and currencies, general market conditions, including
changes in charterhire rates and vessel values, changes in demand that may
affect attitudes of time charterers to scheduled and unscheduled
drydocking, changes in DryShips Inc.'s operating expenses, including bunker
prices, dry-docking and insurance costs, or actions taken by regulatory
authorities, potential liability from pending or future litigation,
domestic and international political conditions, potential disruption of
shipping routes due to accidents and political events or acts by
terrorists.
Risks and uncertainties are further described in reports filed by DryShips
Inc. with the US Securities and Exchange Commission.
Visit our website at www.dryships.com