THE MARINE LOG FEATURES CALENDAR FOR 2003
July 16, 2003
K-Sea Transportation files IPO
Staten Island, N.Y.-based K-Sea Transportation Partners LLP has filed a prospectus with the SEC for an initial public offering of common units.
In its SEC filing, K-Sea (the former Eklof Marine Corp) said it planned to sell 3.5 million common units. It listed Lehman Brothers Inc., UBS Investment Bank, Raymond James and Jefferies & Co. as the underwriters.
K-Sea expects to raise net proceeds of about $68.3million, based on an assumed initial public offering price of $21 per common unit. It intends to use the funds raised to repay $55.1million in term loans, $4.5million in subordinated debt and $6.5million of debt outstanding under its revolving credit facility, and to pay $2million of expenses associated with the offering and the related transactions.
K-Sea has a fleet of 33 tank barges, 3 tankers and 18 tugboats. It is building a new vessel, modifying two other vessels and completing other smaller projects. The company expects to spend about $33 million by the end of fiscal 2004 on these projects.
After the offering is complete, K-Sea expects to have outstanding long-term debt of about $42.3million.