SEACOR Marine stock plunges to 52-week low of $5.79

Published 26/02/2025, 17:30
SEACOR Marine stock plunges to 52-week low of $5.79

In a challenging year for SEACOR Marine Holdings Inc (NYSE:SMHI)., the company’s stock has tumbled to a 52-week low, reaching a price level of just $5.79. The stock’s steep decline includes a 13.5% drop in the past week alone and a dramatic 48% fall over six months. According to InvestingPro analysis, the stock’s RSI indicates oversold conditions, though the current price aligns closely with its Fair Value estimate. Investors have watched with concern as the stock struggled to find its footing amidst market pressures and industry-specific headwinds. With a significant debt burden of $305 million and negative free cash flow, the current low represents a critical juncture for the company. InvestingPro offers 12 additional investment tips and comprehensive analysis to help investors navigate this challenging period.

In other recent news, SEACOR Marine Holdings Inc. has secured a significant financial boost with a new senior secured term loan of up to $391 million from an affiliate of EnTrust Global. This loan is part of a broader strategy to streamline the company’s debt structure and includes the construction of two new platform supply vessels (PSVs) costing $41 million each. Additionally, SEACOR Marine plans to sell two anchor handling towing and supply (AHTS) vessels for $22.5 million, marking its exit from the AHTS asset class. The newly arranged credit facility will mature in the fourth quarter of 2029 and will refinance $203.7 million of existing secured debt and $125.0 million of unsecured debt due in 2026. The company’s CEO, John Gellert, emphasized the strategic importance of these transactions for growth and financial flexibility. The PSVs, featuring environmentally efficient technologies, are expected to be delivered in late 2026 and early 2027. Proceeds from the loan will also allow for the early redemption of $35.0 million in convertible debt, reducing potential stock dilution by around 10%. These developments reflect SEACOR Marine’s ongoing efforts to enhance its fleet and support its asset rotation strategy.

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