Genco Urges Vote For Its Six Directors, Warns Against $24.80 Diana Offer
GNK•Genco Shipping mailed proxy materials urging shareholders to vote on the white card for its six directors and withhold on Diana Shipping’s nominees, warning Diana’s $24.80 tender offer threatens shareholder value. Three proxy advisory firms—ISS, Glass Lewis and Egan-Jones—recommend voting for Genco’s board over Diana’s nominees.
1. Proxy Solicitation Campaign
Genco mailed proxy materials urging shareholders to vote the white proxy card for its six incumbent directors and withhold votes on Diana Shipping’s nominees. The company highlights its Comprehensive Value Strategy has delivered growing dividends and argues that three leading proxy advisory firms endorse its board slate over Diana’s handpicked candidates.
2. Diana Shipping’s Nominees
Genco warns that Diana’s nominees, Jens Ismar and Paul Cornell, pose risks due to Ismar’s role in leading Western Bulk into bankruptcy and Cornell’s professional and personal ties to Diana, noting that ISS issued a withhold recommendation on Cornell during his prior board service.
3. Protection Measures and Offer Rejection
The board recommends continuing the shareholder rights plan to block a creeping takeover and advises shareholders not to tender into Diana’s inadequate $24.80 offer. Genco operates a modern fleet of 43 vessels averaging 12.6 years old with aggregate capacity of 4.935 million dwt.
