Genco Shipping and Baltic Trading merger

Dry-bulk sector may see further consolidation in the months ahead by way of a merger between Genco Shipping & Trading and US-quoted Baltic Trading.
New York-based bulker operator has accelerated the pace of a campaign to explore the possibility of a tie-up with Baltic Trading after enlisting a third-party to lead the investigation.
Genco Shippinh recruited Houlihan Lokey, which may not come as a surprise since the firm boasts a prominent mergers-and-acquisitions unit and has been growing increasingly active in shipping in recent years.
Genco Shipping might pursue a takeover have surfaced on more than one occasion in recent years and are quick to point out it’s not the first time Baltic Trading has been tipped as a prime target. Genco Shipping put the finishing touches on a Chapter 11 restructuring in New York’s Southern District and grew louder in the wake of a merger between Star Bulk Carriers and Oceanbulk.
Genco Shipping board of directors would “seriously consider” going forward but also warned that no decision had been made at that point in time. 
Genco Shipping and Baltic Trading were founded by US tycoon Peter Georgiopoulos, who continues to serve as chairman of both companies to this day.
Genco Shipping gave birth to the Baltic Trading in a 2010 by way of an initial public offering (IPO) but still manages its fleet and holds a sizeable chunk of shares.
Following the proposed merger between Knightsbridge Shipping and Golden Ocean Group, publicly-traded bulker owners backed by Norwegian shipping magnate John Fredriksen, a growing number of market forecasters believe consolidation is the way of the future for the dry-bulk sector.
Star Bulk and Oceanbulk serve as further evidence that investors with an appetite for shipping stocks place a premium on size and see consolidation as the key to survival at a point in the cycle where market turbulence is the norm.