United Maritime Corporation Interview On Delivering Growth And Shareholder Returns

​​​​Capital Link hosted an in-depth interview of United Maritime Corporation (the “Company” or United) USEA Founder, Chairman and CEO Stamatis Tsantanis by Barry Parker on Wednesday, March 1, 2023. During the interview, which is part of Capital Link’s Trending News Podcast Series, Mr. Tsantanis described the Company’s achievements since its spin-off from Seanergy Maritime Holdings Corp. (Seanergy) SHIP, as well as its objectives and strategy for the future.

United Maritime Reports Profitable First Period Of Operations

• United Maritime is an international shipping company specializing in worldwide seaborne transportation services. Upon completion of the recent acquisition of three vessels, the Company's operating fleet will consist of seven vessels (1 LR2 tanker, 3 Capesize, 2 Kamsarmax and 1 Panamax), with an aggregate cargo carrying capacity of 877,320 dwt.
• United Maritime recently reported its highly profitable first period of operations. On February 22, 2023, the Company announced its financial results for the fourth quarter ended December 31, 2022, and the period from the commencement of its operation on July 6, 2022 to December 31, 2022. The Company also declared a quarterly dividend of $0.075 per share.

Highlights from United Maritime Founder, Chairman and CEO Stamatis Tsantanis’ interview by Barry Parker include the following:

Spin-Off From Seanergy And United’s Current Strategy

• United Maritime was spun off from Seanergy and began trading on the Nasdaq Capital Market under the ticker symbol “USEA” in July 2022.
• Responding to Barry Parker’s question on the rationale behind the decision to spin off United Maritime, Stamatis Tsantanis indicated it was part of the overall strategy to enhance shareholder returns. 
• The CEO stressed that Seanergy focuses exclusively on Capesize dry bulk vessels, allowing it to gain prominence in the sector and build strong relationships with major charterers. Thus, it was not able to take advantage of “amazing acquisitions opportunities and other deals” that were presented to it.
• United Maritime was created as an independent company that can diversify across different shipping sectors and assets classes, and also take advantage of quick and opportunistic asset trading “being able to buy low, sell high and distribute profits to shareholders as quickly as possible.”
• Forming an independent and separate entity enables shareholders to benefit from the advantageous deals that would have otherwise remained unexploited by Seanergy due to its pure-play Capesize focus.
• United Maritime started out operations with a single ship, a Capesize vessel from Seanergy. “We had to start with a ship,” Mr. Tsantanis said, then, “we started building on that by acquiring our first fleet of tankers,” which, as he pointed out, turned out quite well.
• Within the Company’s first six months of operation, it purchased 2 Aframax tankers and 2 LR tankers and then sold 3 of the vessels shortly thereafter. The sale resulted in a return on equity of over 350% in less than six months. “We felt that, by selling the ships, we have captured a big percentage of the cashflow that the vessels would be making over the next few years,” Mr. Tsantanis stated about the deal. 
• The Company’s strategy of diversification also applies to shipping sectors. “We are sector agnostic,” the United CEO answered when asked if the Company is open to opportunities across all sectors, provided that such deals are beneficial to United’s shareholders. 
• United has invested heavily in the dry bulk sector. “We feel that we are at the beginning of a very strong super cycle for dry bulk,” Mr. Tsantanis said, noting that the Company believes that “it is the right time to enter” the sector.
• In February 2023, the Company took delivery of two Capesize vessels, and will soon take delivery of three dry bulk vessels—two Kamsarmax, and one Panamax. On a fully delivered basis, United’s operating fleet will consist of seven vessels (1 LR2 tanker, 3 Capesize, 2 Kamsarmax and 1 Panamax), with an aggregate cargo carrying capacity of 877,320 dwt. 

Strategy Centered On Shareholder Returns 

• “What differentiates United Maritime from many other companies, and notably from many other spin-offs, is the fact that we have a highly disciplined share count,” Mr. Tsantanis said.
• After its initial launch, the Company maintained a conservative approach with regard to offerings, so as not to dilute its shareholders. 
• Mr. Tsantanis stated that in support of the Company’s stock price, United Maritime used $6 million of its capital to buy back 3.3 million or around 25% of its common shares, at an average price of $1.81 per share.
•  In addition to this buyback, in November 2022, the Company declared a special cash dividend of $1.00 per common share in connection with the profitable sale of two Aframax vessels. The dividend was paid around January 10, 2023.
• Furthermore, United’s board of directors recently initiated a regular quarterly dividend of $0.075 per share for the fourth quarter of 2022, which will be payable on April 6, 2023 to all shareholders of record as of March 22, 2023.
• Balancing rewarding shareholders with investing in the Company’s growth was not a challenge, Mr. Tsantanis stated, due to the cash generated by the sale of United’s three tankers. 
• The Company’s market cap of 26 million is at a “significant discount” impacted by investor perceptions about spin-offs. He stated that “Unfortunately, the perception is that spin-offs are super dilutive and are doing offerings at cents on the dollar.”
•  Mr. Tsantanis believes that this perception about United Maritime will change with time, as the Company continues its current strategy, which is the “opposite” of what some believe regarding other spin-offs. “I believe that the stock will reach its expected value little by little… You cannot change perceptions overnight,” he continued.

Capital Link is the investor relations advisor to United Maritime. This content is for informational purposes only and is not intended to be investing advice.