Shares of United Maritime Corporation (NASDAQ:USEA), a shipping company, climbed 90% in pre-market trading. Earlier this month, United Maritime was spun off from a much larger shipper, Seanergy Maritime (NASDAQ:SHIP). Since United Maritime’s debut on July 7, USEA stock has slumped about 32% including today’s impressive rally.
There does not appear to be any news that’s causing the stratospheric rise of USEA stock today, although the price of West Texas Intermediate crude oil climbed nearly 2.5% to $98.15 this morning.
On July 11, however, the company announced that it would buy four tanker vessels for a total price of $79.5 million. “The fleet consists of two Aframax oil tankers, built in 2006 at a yard in South Korea, and two LR2 product tankers, built in 2008 at yards in China,” United Maritime reported at the time.
According to Teekay (NYSE:TK), which ships crude oil globally, “The Long Range 2 Product Tanker (LR2) ranges in size from 105,000 to 115,000 dwt and is the largest specialized clean petroleum product tanker.” Meanwhile, McKinsey states, “Aframax refers to a class of oil tanker of medium size, larger than Panamax and smaller than Suezmax. Aframax tankers are in the range of 80-120 DWT.”
American Shipper recently reported that the spot rates for Aframax crude tankers were $21,300 per day. Ten-year old Lr2s were raking in $26,200 daily, the website noted.
United Maritime’s CEO
Stamatis Tsantanis, United Maritime’s CEO, has been the CEO of its parent company, Seaenergy Maritime, since 2012. All of the companies for which he has worked have been based in Greece.
Tsantanis holds a Master of Science, Shipping Trade and Finance from City University of London and a Bachelor of Science, Shipping Finance from the University of Piraeus.
On the date of publication, Larry Ramer did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.