May 19, 2005

B + H Ocean raises $60 million

B + H Ocean Carriers Ltd. (AMEX:BHO) yesterday said it had entered agreements with European institutional investors on private placement of 3,243,243 shares of its common stock. The placement will raise approximately $60 million. The parties expect to close the private placement on or about May 25, 2005. Pareto Securities ASA, Oslo, Norway, acted as manager for the financing. The newly issued shares will trade over the counter in Norway and cannot be sold in the U.S. for 40 days from issuance. The company added that it intends to apply for listing on the Oslo Stock Exchange.

The proceeds from the private placement are expected to be used for acquisitions of secondhand shipping tonnage, refinancing of debt and working capital. B + H Ocean says it intends to make vessel acquisitions to expand its presence in its two current sectors of the tanker market: combination carriers capable of transporting both wet and dry bulk cargoes, and medium range product carriers.

The company currently owns and operates seven medium range product tankers and four combination carriers.


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