Cargo-ShipTomahawk, WI 4/2/2013 (Expedated) – Todays downward mover look like this.

Nordic American Tankers Ltd. (NYSE: NAT) is down over 9% this morning having already traded eight times its daily average moving some 8 million shares already this morning. Nordic American Tankers Limited, a tanker company, engages in acquiring and chartering double-hull tankers. Its fleet consists of 20 double-hull Suezmax tankers. The company was founded in 1995 and is headquartered in Hamilton, Bermuda.

As we take a look at what is going on, we find that the company just announced a follow-on offering of 9.75 million common shares which have been priced at $9.60 per share.

The proceeds of this offering are expected to pay for acquisitions under the company’s expansion program, including the Nordic Future, and for general corporate purposes. The  current fleet on the water consists of 20 double-hull Suezmax tankers. The company has also made an agreement to buy a modern double-hull Suezmax tanker to be named the Nordic Future. Delivery of this ship is expected to be in May 2013.

The common shares are being offered pursuant to the Company’s effective shelf registration statement.  Morgan Stanley & Co. LLC is acting as the bookrunning manager for the offering and DNB Markets Inc., Skandinaviska Enskilda Banken AB and Pareto Securities Inc. are acting as co-managers of the offering.  The Company expects to close the sale of the common shares on April 5, 2013, subject to customary closing conditions.

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