United Maritime: Great Fleet Expansion Timing And Aggressive Share Buybacks Cause NAV To Skyrocket

Henrik Alex profile picture
Henrik Alex


  • United Maritime sells a pair of recently acquired Aframax tankers for an estimated 70%+ gain within just three months.
  • After diluting shareholders soon after completing its spin-off from Seanergy Maritime in July, the company surprisingly reversed course and repurchased approximately 35% of outstanding common shares in recent weeks.
  • Even after the 100%+ rally from recent lows, shares are still trading at an 80% discount to net asset value ("NAV").
  • Further buyback activity is likely to be less aggressive as the warrant overhang comes into play.
  • If the company is indeed serious about creating additional shareholder value, I would expect United Maritime to redeem the $10 million in outstanding 6.5% Series C Convertible Preferred Stock held by former parent Seanergy Maritime. Upgrading shares from "Sell" to "Hold".

Oil Tanker in San Francisco


In early July, United Maritime Corporation (NASDAQ:USEA) or "United" completed its spin-off from Seanergy Maritime Holdings Corp. (SHIP) or "Seanergy" to "pursue a diversified business model and greater exposure to different shipping segments".

The company wasted no time expanding


Compass Maritime / Company Press Releases

This article was written by

Henrik Alex profile picture
I am mostly a trader engaging in both long and short bets intraday and occasionally over the short- to medium term. My historical focus has been mostly on tech stocks but over the past couple of years I have also started broad coverage of the offshore drilling and supply industry as well as the shipping industry in general (tankers, containers, drybulk). In addition, I am having a close eye on the still nascent fuel cell industry.I am located in Germany and have worked quite some time as an auditor for PricewaterhouseCoopers before becoming a daytrader almost 20 years ago. During this time, I managed to successfully maneuver the burst of the dotcom bubble and the aftermath of the world trade center attacks as well as the subprime crisis.Despite not being a native speaker, I always try to deliver high quality research at no charge to followers and the entire Seeking Alpha community.

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in USEA over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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