Box Ships Inc (OTCMKTS:TEUFF) shares were up 49.25% to $0.0200 on Tuesday and flat in after-hours trading. The company has a market cap of $671,886.00 at 31.28 million shares outstanding. Shares have been trading in a 52-week range of $0.00 to $0.85.
Box Ships Inc is an international shipping company engaged in the seaborne transportation of containers across the world. It is pursuing opportunities in the container shipping industry with a fleet comprised of approximately nine container ships with a 20-foot equivalent unit (TEU) weighted average age of over 11.3 years and a total capacity of approximately 43,920 TEU. The company operates through various vessel-owning subsidiaries incorporated in the Republic of Liberia, the Republic of the Marshall Islands and Hong Kong and outsources the technical and commercial management of its vessels to Allseas Marine S.A.
In its letter to shareholders dated July 11, Box Ships Inc management admitted that it has been difficult steering the company through a cyclical downturn.
I have seen these times before. I have been in marine shipping, as a shipping company founder, executive and technical superintendent supervising vessels for other shipping companies, for more than 35 years. These highs and lows are a part of life and we understand the classically cyclical nature of the business,” wrote Box Ships Inc CEO Michael Bodouroglou.
For now, Bodouroglou noted that they are preserving cash liquidity by reducing operating and administrative costs significantly and working closely with lenders to manage through the downturn. He added that the company renegotiated its loans and deferred loan installment payments, but added that it will be difficult to predict when exactly conditions might improve.
If things do look up soon, Bodouroglou mentioned that have approval from the Board of Directors to initiate a reverse stock split. He concluded by saying that they are optimistic about the future and urged shareholders to keep the faith in their leadership.
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