Scorpio Bulkers looks to raise $200 million

JUNE 9, 2015 — Scorpio Bulkers Inc. (NYSE: SALT) says that it intends to offer, issue and sell to the public up to $200 million of its common stock, par value $0.01 per share, through an underwritten public offering. All or substantially all of the net proceeds of the offering are expected to be used to fund installment payments due under the Company's newbuilding program. Any net proceeds not used for installment payments are expected to be used for general corporate purposes and working capital.

Scorpio said earlier this month that it has contracted for 53 dry bulk vessels consisting of 25 Ultramax (including one vessel held for sale), 19 Kamsarmax (including one vessel held for sale), and nine Capesize vessels, from shipbuilders in Japan, South Korea, and China. It has also contracted for four LR2 product tankers that are currently classified as held for sale, from shipyards in South Korea. On final delivery of all of the vessels the owned fleet is expected to have a total carrying capacity of approximately 5.4 million deadweight tonnes.

As part of the offering announced today, the underwriters have reserved for sale up to $15 million of Common Shares to Scorpio Services Holdings Limited and certain executive officers of the company at the public offering price.

The company also intends to grant the underwriters a 30-day option to purchase up to an additional $30 million of common shares.

Deutsche Bank Securities Inc. and Clarksons Platou Securities AS are acting as joint bookrunners, Evercore ISI and Stifel are acting as co-lead managers and ABN AMRO, Credit Agricole CIB and Clarksons Platou Securities Inc. are acting as co-managers in the offering.

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