Contact Information: Company Contact: Paul J. Cornell Chief Financial Officer Tel. 713-751-7525 E-mail: pcornell@quintanamaritime.com
Quintana Terminates Sale Process
| Source: Quintana Maritime Limited
ATHENS, GREECE--(Marketwire - January 22, 2008) - Quintana Maritime Limited (NASDAQ : QMAR )
("Quintana") announced today that its Board of Directors has concluded its
strategic sale process. On October 16, 2007, the Board had announced the
start of a process to evaluate alternatives to enhance value for the
Company's shareholders. The Company, with the advice of its investment
bankers, decided to conduct a comprehensive and thorough sale process.
Over the course of the ensuing twelve weeks, the Company established a
competitive process as a result of which several indicative proposals were
explored and evaluated. None of these proposals resulted in a final
proposal that was financially and contractually attractive. After careful
consideration and thorough review with both its financial and legal
advisors, the Board has concluded that it is in the best interests of the
Company at this time to continue on its present course as an independent
publicly traded entity. Significant considerations included the recent
considerable deterioration in the drybulk charter market and the resulting
volatility and decline in the share values of publicly traded companies in
the drybulk sector. In addition, the Board was concerned that several of
the indicative proposals were contingent on the availability of third party
financing in a challenging credit environment. The Board concluded that it
would not be appropriate in these circumstances to continue to pursue a
business combination at this time. The Board will continue to focus on
strategies that will enhance shareholder value, including accretive
acquisitions and increased dividends.
ABOUT QUINTANA MARITIME LIMITED
Quintana Maritime Limited, based in Greece, is an international provider of
dry bulk cargo marine transportation services. As of today, the company
owns a fleet of 22 vessels and, together with 7 Panamax vessels under
bareboat charters, operates 29 vessels, including 14 Kamsarmax bulkers, 11
Panamax vessels and 4 Capesize vessels with a total carrying capacity of
2,644,043 dwt. The dwt weighted average age of the vessels, excluding the
seven vessels on bareboat charters, is 3.3 years. In addition, Quintana has
ordered 8 Capesize newbuilding vessels, one of which will be wholly owned
and the remaining seven of which will be partially owned through joint
ventures. Once all acquisitions and newbuilding orders are completed and
assuming no further vessel disposals, Quintana will operate a fleet of 37
dry bulk vessels, including 12 Capesize vessels, 11 Panamax vessels and 14
Kamsarmax vessels, with a total capacity of 4,086,043 dwt. The dwt weighted
average age of the whole fleet, including the Capesize vessels on order and
excluding the seven vessels sold and leased back, is currently 1.9 years.
Forward-Looking Statement
This press release contains forward-looking statements (as defined in
Section 27A of the Securities Act of 1933, as amended, and Section 21E of
the Securities Exchange Act of 1934, as amended) concerning future events
and the Company's growth strategy and measures to implement such strategy;
including expected vessel acquisitions and entering into further time
charters. Words such as "expects," "intends," "plans," "believes,"
"anticipates," "hopes," "estimates," and variations of such words and
similar expressions are intended to identify forward-looking statements.
Such statements include comments regarding expected revenues and time
charters. Although the Company believes that the expectations reflected in
such forward-looking statements are reasonable, no assurance can be given
that such expectations will prove to have been correct. These statements
involve known and unknown risks and are based upon a number of assumptions
and estimates which are inherently subject to significant uncertainties and
contingencies, many of which are beyond the control of the Company. Actual
results may differ materially from those expressed or implied by such
forward-looking statements. Factors that could cause actual results to
differ materially include, but are not limited to changes in the demand for
dry bulk vessels, competitive factors in the market in which the Company
operates; risks associated with operations outside the United States; and
other factors listed from time to time in the Company's filings with the
Securities and Exchange Commission. The Company expressly disclaims any
obligations or undertaking to release publicly any updates or revisions to
any forward-looking statements contained herein to reflect any change in
the Company's expectations with respect thereto or any change in events,
conditions or circumstances on which any statement is based.