The manager of Rickmers Maritime Trust says it is undertaking a non-underwritten renounceable rights issue to raise gross proceeds of up to $101.7 million.

The rights issue will be offered on a 1-for-1 basis at an issue price of $0.240 per unit. This represents a discount of 33.3% to the closing price of $0.360 per unit on the SGX on 18 March 2013.

If fully subscribed, the net proceeds of the rights Issue are expected to be $98.5 million. 100% of the net proceeds will be used to repay the Top Up Facility and other bank loans.

To demonstrate its support for the rights Issue, the sponsor of Rickmers Maritime has, through its subsidiaries, provided undertakings to subscribe and pay in full, for such number of rights units to maintain its current unitholding percentage level.

Furthermore, the independent directors, Lim How Teck and Lee Suet Fern, have each provided an undertaking that they will subscribe in full for their entitlements.