Overview
- Diana Shipping has launched a tender offer and a parallel proxy campaign that seeks to replace Genco’s entire board with Diana’s nominees.
- Genco published a video and shareholder materials urging investors to vote the WHITE proxy card, with instructions to vote for Genco’s slate, withhold on Diana’s nominees, and reject the tender.
- Genco says Diana’s offer materially undervalues the company, arguing the bid is below published net asset value and below cited liquidation estimates and carries no control premium.
- To defend the board and its strategy, Genco has engaged Jefferies as financial advisor, Morgan Stanley as special advisor, and Herbert Smith Freehills Kramer and Sidley Austin as legal counsel.
- Proxy adviser Egan-Jones recommended shareholders support Genco’s nominees, citing Genco’s strong shareholder returns under its Comprehensive Value Strategy and warning that a tender that forces quick vessel sales could transfer future upside away from investors.