SEC Filing Coverage: Why Centerbridge Credit Partners Reported Big Genco Shipping & Trading Ltd Position?

SEC Filing Coverage: Why Centerbridge Credit Partners Reported Big Genco Shipping & Trading Ltd Position?

The New Centerbridge Credit Partners Holding in Genco Shipping & Trading Ltd

Centerbridge Credit Partners filed with the SEC SC 13D/A form for Genco Shipping & Trading Ltd. The form can be accessed here: 000090266416008353. As reported in Centerbridge Credit Partners’s form, the filler as of late owns 35.26% or 8,874,097 shares of the -company.

Genco Shipping & Trading Ltd stake is a new one for the and it was filed because of activity on October 6, 2016. We feel this shows Centerbridge Credit Partners’s positive view for the stock.

Reasons Why Centerbridge Credit Partners Bought – Genco Shipping & Trading Ltd Stock

PURPOSE OF TRANSACTION Item 4 of the Schedule 13D is hereby amended and supplemented by the addition of the following: As described in the Issuer’s Form 8-K filed October 6, 2016 (the “Form 8-K”), on October 6, 2016, certain funds managed by and affiliated with Centerbridge Partners, L.P. (collectively, “Centerbridge”) entered into a Stock Purchase Agreement with the Issuer effective as of October 4, 2016 (the “Stock Purchase Agreement”) for the purchase of 6,597,938 shares of the Series A Preferred Stock for an aggregate purchase price of $31,999,999.30.In addition, Centerbridge has agreed to provide a backstop commitment to purchase up to 3,402,062 additional shares of Series A Preferred Stock for $4.85 per share at a pro rata amount equal to the basic subscription amount for each fund. The Series A Preferred Stock has a liquidation preference of $4.85 per share and will mandatorily convert into Common Stock at a conversion price of $4.85 per share, subject to certain adjustments, upon receipt of approval of the issuance of shares of Common Stock upon conversion of the Series A Preferred Stock by the Company’s shareholders.Commencing on the 180th day after issuance of the Series A Preferred Stock, holders of the Series A Preferred Stock will be entitled to cumulative dividends at a rate of 6% per share on the liquidation preference unless any such dividends are not permitted by law or the terms of any loan agreement, credit agreement, guaranty, or related agreement.In such a case, the dividends will be deferred until conversion of the Series A Preferred Stock.Upon conversion of the Series A Preferred Stock, its holders will be entitled to receive the amount of any unpaid deferred dividends in cash or shares of Common Stock based on the conversion price then in effect.

CUSIP No. Y2685T115SCHEDULE 13D/APage 19 of 24 Pages

As described in the Form 8-K, other stakeholders of the Issuer separately have entered into commitment letters with the Issuer in connection with the proposed Offering that, in each case, are substantially similar to the Stock Purchase Agreement.The Reporting Persons hereby expressly disclaim membership in a “group” (within the meaning of Section 13(d)(3) of the Exchange Act) with any other stakeholders in the Issuer, and the entry into the Stock Purchase Agreement and the filing of this Schedule 13D shall not be construed as an admission that any Reporting Person, for any purpose, is a member of a group with any such stakeholder, or any other person, or that the Reporting Persons beneficially own any shares of Common Stock beneficially owned by any other stakeholder, or any other person.
The consummation of the transactions contemplated by the Purchase Agreements is subject to the satisfaction of certain closing conditions, including, without limitation, refinancing and amendment of certain of the Issuer’s credit facilities.Centerbridge has agreed in the Stock Purchase Agreement that it will vote all of its shares of common stock in favor of approval of conversion of the Series A Preferred Stock. In addition, pursuant to the Stock Purchase Agreement, Centerbridge and the Issuer intend to enter into an industry standard registration rights agreement on substantially the same terms and conditions as set forth in that certain Registration Rights Agreement by and among the Company and certain of its shareholders dated as of July 9, 2014. In addition, the relative rights, preferences, limitations and designations of the Series A Preferred Stock are set forth in the Certificate of Designation attached as Exhibit A to the Stock Purchase Agreement.
The description of the Stock Purchase Agreement, including that of the Certificate of Designation, contained in this response to Item 4 is qualified in its entirety by reference to the Stock Purchase Agreement, which is incorporated herein by reference and attached hereto as Exhibit 4.

Business Profile

Guangshen Railway Company Limited is engaged in the provision of passenger and freight transportation on railroads. The Company is involved in passenger and freight transportation businesses on the Shenzhen-Guangzhou-Pingshi Railway, which is approximately 481.2 kilometers long, running vertically through Guangdong Province. The Company’s businesses include Passenger Transportation, Freight Transportation, Railway Network Usage and other transportation related services, and Other Businesses. The Company transports full load cargo, single load cargo, containers, bulky and overweight cargo, dangerous cargo, fresh and live cargo, and oversized cargo. The Company’s rail lines operated are closely knitted with the ports in Guangzhou and Shenzhen, and are connected to industrial zones, logistics zones and plants and mines in the Pearl River Delta region through the railroad sidings. It also offers on-board catering services.

SEC Form 13D is filed within 10 days, by anyone who acquires beneficial ownership of 5%+ of any public firm. Activist investors and practices such as: company breakups, hostile takeovers, and change of control events, are permitted for this form filers. A filer must promptly update its 13D filing in case of acquisition or disposition of 1% or more of the securities that are the subject of the filing.

The stock increased 0.47% or $0.02 on October 11, hitting $4.26. Guangshen Railway Co., Ltd. (SHA:601333) has risen 6.00% since September 12, 2016 and is uptrending. It has underperformed by 3.32% the S&P500.

Guangshen Railway Company Limited is engaged in the provision of passenger and freight transportation on railroads. The company has a market cap of $. The Firm is involved in passenger and freight transportation businesses on the Shenzhen-Guangzhou-Pingshi Railway, which is approximately 481.2 kilometers long, running vertically through Guangdong Province. It currently has negative earnings. The Company’s businesses include Passenger Transportation, Freight Transportation, Railway Network Usage and other transportation related services, and Other Businesses.

More recent Guangshen Railway Co., Ltd. (SHA:601333) news were published by: Finance.Yahoo.com which released: “Guangshen Railway Filed 2015 Annual Report on Form 20-F” on July 07, 2016. Also Etfdailynews.com published the news titled: “The Most Lucrative Investment Opportunity In Old Economy Rail Stocks …” on April 07, 2014. Seekingalpha.com‘s news article titled: “Why I Bought Guangshen Railway” with publication date: May 28, 2014 was also an interesting one.

601333 Company Profile

Guangshen Railway Company Limited, incorporated on March 6, 1996, is engaged in the provision of passenger and freight transportation on railroads. The Firm is involved in passenger and freight transportation businesses on the Shenzhen-Guangzhou-Pingshi Railway, which is approximately 481.2 kilometers long, running vertically through Guangdong Province. The Company’s businesses include Passenger Transportation, Freight Transportation, Railway Network Usage and other transportation related services, and Other Businesses. The Firm transports full load cargo, single load cargo, containers, bulky and overweight cargo, dangerous cargo, fresh and live cargo, and oversized cargo. The Company’s rail lines operated are closely knitted with the ports in Guangzhou and Shenzhen, and are connected to industrial zones, logistics zones and plants and mines in the Pearl River Delta region through the railroad sidings.

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