DryShips announces $200M stock offering, shares -7.4% AH

|About: DryShips Inc. (DRYS)|By:, SA News Editor

DryShips (DRYS), which had a market cap of just $1.53B as of today's close, is offering the shares via Evercore. (PR)

CEO George Economou: "Drybulk shipping rates and ship values have increased recently and we believe this trend will continue particularly in the larger asset classes ... we believe this is an opportune time to flexibly access the equity capital markets to reduce some or all of our funding needs through 2014 that we currently estimate at [$150M]."

He adds DryShips is "nearing agreements" with banks to lower debt service payments over the next year and adjust covenant terms, and that the company's Ocean Rig fleet operated at a record 98.5% efficiency in Q3 on available for drilling days.

DryShips had $4.44B in debt at the end of Q2, and $511.4M in cash/equivalents.