Benzinga | Oct 4, 2021 08:21AM EDT

Eagle Bulk Shipping Announces Share Repurchase Program Of $50M

Eagle Bulk Shipping Inc. (NASDAQ:EGLE) ("Eagle Bulk", "Eagle" or the "Company"), one of the world's largest owner-operators within the Supramax / Ultramax drybulk segment, announced today that the Company has instituted a dividend policy and a USD 50 million share repurchase program in conjunction with the closing of a USD 400 million comprehensive refinancing (the "Refinancing").



Under the dividend policy, the Board of Directors intends to authorize the payment of quarterly cash dividends equal to a minimum of 30% of net income, but not less than $0.10 per share. The first dividend is scheduled to be based on the Company's Q3 2021 financial results, with payment in November. Purchases under the share repurchase program will be at the Company's discretion. The Refinancing, which closed on October 1, 2021, has significantly improved the Company's capital structure and increased financial flexibility, resulting in a reduction of approximately USD 8 million in annual interest expense, as well as an extension of the nearest bank debt maturity to the end of 2026.