STAMFORD, Conn. - Dorian LPG Ltd. (NYSE: NYSE:LPG), a global transporter of liquefied petroleum gas, has announced the pricing of its public stock offering at $44.50 per share. The offering consists of 2 million common shares with a par value of $0.01 each. The company also intends to provide underwriters a 30-day option to purchase up to an additional 300,000 shares.
The proceeds from the offering are expected to be allocated towards general corporate purposes. Jefferies LLC is leading the offering as the bookrunning manager, with SEB as the joint lead. Other financial institutions, including Pareto Securities, Fearnley Securities, Arctic Securities, DNB Markets, BNP PARIBAS, and Credit Agricole (OTC:CRARY), are participating as joint bookrunning managers.
Interested parties can access the prospectus supplement and the accompanying base prospectus through the U.S. Securities and Exchange Commission (SEC) website or directly from Jefferies LLC. This move is part of a registration statement filed with and declared effective by the SEC.
Dorian LPG is recognized as a leading operator of Very Large Gas Carriers (VLGCs) and boasts a fleet of twenty-five modern vessels, including twenty ECO VLGCs and four dual-fuel ECO VLGCs. Their operations are headquartered in Stamford, Connecticut, with additional offices in Copenhagen, Denmark, and Athens, Greece.
The company's forward-looking statements in the press release are subject to various risks and uncertainties that could cause actual results to differ significantly from those projected. Dorian LPG has cautioned that these statements are not guarantees of future performance and that they involve known and unknown risks that could lead to material differences in actual results.
This announcement does not constitute an offer to sell or a solicitation of an offer to buy these securities in any jurisdiction where such an offer or sale would be unlawful without registration or qualification under the securities laws of such state or jurisdiction.
The information provided in this article is based on a press release statement from Dorian LPG Ltd.
In other recent news, Dorian LPG reported record net income and a robust 30% return on book equity for the financial year 2024. The company paid out over $160 million in dividends to shareholders, with intentions to continue this trend based on future financial performance. Dorian LPG also revealed plans for a public offering of 2 million common shares, with Jefferies LLC and SEB serving as bookrunning managers.
The company showcased financial strength with $282.5 million in free cash and $294 million in total liquidity, along with an improved debt-to-total book capitalization ratio of 37.4%. Dorian LPG is expanding its fleet to meet increasing demand in the LPG market and has a positive outlook on the future of Very Large Gas Carriers (VLGCs) and the ammonia trade.
These are recent developments for Dorian LPG, which is also committed to sustainability, with plans to retrofit vessels for ammonia cargo. The company is optimistic about its medium to long-term prospects as it continues to navigate the evolving LPG market and broader energy landscape.
InvestingPro Insights
As Dorian LPG Ltd. (NYSE: LPG) embarks on its public stock offering, investors are closely monitoring the company's financial health and market performance. According to recent data from InvestingPro, the company's market capitalization stands at a robust $2.04 billion USD, reflecting investor confidence in its business model and market position. With a P/E ratio of 6.57 and an adjusted P/E ratio for the last twelve months as of Q4 2024 at 6.69, Dorian LPG presents itself as a company with a solid earnings base relative to its share price.
InvestingPro Tips highlight that the company pays a significant dividend to shareholders, boasting a dividend yield of 7.95% as of the latest available data. This commitment to returning value to shareholders is a positive sign for income-focused investors.
Moreover, Dorian LPG has demonstrated a high return over the last year, with a 144.26% total return, indicating strong market performance and investor optimism. For those looking to delve deeper, there are 12 additional InvestingPro Tips available, offering a comprehensive analysis of Dorian LPG's financial and market indicators.
Investors considering participating in the stock offering may find these insights particularly valuable. The company's ability to maintain liquid assets that exceed short-term obligations, coupled with a moderate level of debt, suggests a stable financial foundation. Moreover, with the stock trading near its 52-week high at 97.37% of the peak price, the market sentiment appears to be favorable.
For those interested in gaining a more nuanced understanding of Dorian LPG's financials and market outlook, InvestingPro provides a wealth of information. Utilize coupon code PRONEWS24 to receive an additional 10% off a yearly or biyearly Pro and Pro+ subscription, and access the full suite of InvestingPro Tips to make informed investment decisions.
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