Pangaea Logistics Solutions to Acquire Remaining Equity Stake in Nordic Bulk Partners

Pangaea Logistics Solutions Ltd., a leading provider of maritime logistics services, has announced a definitive agreement to acquire the remaining 50% equity ownership of its subsidiary, Nordic Bulk Partners LLC, from HS Nordic LLC for $17.2 million in cash. Nordic Bulk Partners, established in 2019 as a joint venture, focuses on the construction of four Ice Class 1A Post-Panamax dry bulk vessels. The transaction is expected to be finalized by November 1, 2024, pending customary closing conditions.

Once completed, Pangaea will fully own Nordic Bulk Partners. The operating agreement includes put and call provisions that were negotiated and exercised a year earlier than planned. As of June 30, 2024, HS Nordic's 50% equity stake was recorded on Pangaea's balance sheet as a long-term liability of $16.6 million, which will be eliminated through this acquisition.

Mark Filanowski, Pangaea's Chief Executive Officer, remarked, "This strategic move to take full ownership of these modern dry bulk vessels strengthens our fleet of Ice Class 1A vessels, enhances our balance sheet, and boosts our operating cash flow. We are committed to expanding our fleet of owned vessels while leveraging favorable conditions in the dry bulk market to unlock additional net asset value and maximize future returns. We extend our gratitude to Hudson Structured Capital Management for their partnership in developing our ice class fleet since the vessels' delivery in 2021."

About Pangaea Logistics Solutions Ltd.

Pangaea Logistics Solutions Ltd. (Nasdaq: PANL) offers logistics services tailored to industrial clients requiring the transportation of various dry bulk cargoes, including grains, pig iron, bauxite, and cement clinker. The Company addresses its customers' transportation needs through a comprehensive range of services, including cargo loading, discharge, vessel chartering, and voyage planning. For more information, visit www.pangaeals.com.

Certain statements in this press release are "forward-looking statements" as defined by the Private Securities Litigation Reform Act of 1995. These statements are based on current expectations and beliefs and are subject to risks and uncertainties that could cause actual results to differ. Pangaea disclaims any obligation to update or revise these statements, except as required by law. Risks include economic conditions, market fluctuations, changes in demand for dry bulk shipping, operational costs, and regulatory actions, among others, detailed in filings with the Securities and Exchange Commission, available at www.sec.gov.