Rubico Acquires 100% Shares of Central Mare for $4.2M

Rubico entered into an agreement with Central Mare Inc, an affiliate of Mr. Evangelos Pistiolis, to acquire 100% of the issued and outstanding shares of a Marshall Islands company, counterparty to a ship building contract for a very-high specification 47,499 dwt Medium Range product/chemical oil tanker with Guangzhou Shipyard International Company Limited, scheduled for delivery during 2029. The ship building contract effectiveness is subject to the issuance of a customary refund guarantee and the acquisition of the SPV is subject to conclusion of financing arrangements. Specifically, the SPV is currently finalizing a lease financing agreement with ABC Financial Leasing Co., Ltd., a major Chinese leasing company, or its controlled entities, covering the majority of the ship building contract's price for the vessel. The Financing was arranged by the Seller and its conclusion is subject to customary closing conditions, including the provision of the Company's corporate guarantee to the leasing company. The Seller has also secured a time charter employment with a major oil trader for the vessel, starting from its delivery and for a firm duration of seven years, with charterer's option to extend for four additional years. The total potential gross revenue backlog from this contract, including optional years, is about $75M. The Company has agreed to acquire the shares of the SPV for an aggregate purchase price of about $4.2M and due to the related party nature of the acquisition, the transaction was approved by a special committee composed of independent members of the Company's board of directors.