Diana Shipping Drops Genco Bid After $36.91/Share Demand, Shares Jump 7.7%
DSX sits 75% above its 52-week low of $1.53.
Summary
Diana Shipping withdrew its hostile takeover bid for Genco Shipping after Genco demanded $36.91 per share, including $27.50 cash, a $2 dividend adjustment, and three Diana shares per Genco share. Diana's CEO said no credible acquirer could meet those terms. The market is rewarding Diana for walking away — shares rose 7.7% to $2.67 in premarket trading, suggesting investors saw the deal as overpriced. Genco responded with an open letter thanking shareholders and accusing Diana of not paying full value. This ends a nearly year-long takeover battle that saw Diana raise its offer from $24.80 to $27.34 before withdrawing.
At the time of this announcement, DSX was trading at $2.67 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $308.5M. The 52-week trading range was $1.53 to $2.92. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Dow Jones Newswires.