Diana Shipping Inc. has launched a proxy fight against Genco Shipping & Trading Ltd. by nominating six independent directors to replace the current board. The slate—Jens Ismar, Gustave Brun‑Lie, Quentin Soanes, Paul Cornell, Chao Sih‑Hing Francois, and Vicky Poziopoulou—brings expertise in dry‑bulk shipping, finance, mergers and acquisitions, and corporate governance, positioning the nominees to evaluate strategic alternatives such as a potential acquisition of Genco.
The move follows Diana’s all‑cash takeover offer of $20.60 per share, made on November 24 2025, which Genco’s board rejected as undervalued and fraught with execution risk. Diana currently holds 14.8 % of Genco’s shares and has secured a financing letter from DNB and Nordea for up to $1.1 billion in debt, underscoring its commitment to the bid. Genco’s rejection was driven by concerns over the offer’s valuation, the lack of fully committed financing, and the potential dilution of shareholder value.
Diana’s proxy campaign is a strategic pivot from a pure operator to a capital allocator. By replacing Genco’s board, the company seeks a governance structure that is open to exploring consolidation, which it believes would create a larger, more diversified dry‑bulk operator and unlock shareholder value. The nominees’ backgrounds—ranging from long‑standing shipping executives to seasoned financiers—are intended to bring fresh perspectives on fleet strategy, cost management, and market positioning.
Genco’s board, meanwhile, has reiterated its confidence in its current strategy of low leverage, regular dividends, and opportunistic fleet renewal. The company’s statement emphasized that the takeover offer was “not in the best interest of shareholders” and highlighted its commitment to a value‑creation plan that does not involve a sale. The board’s stance reflects a belief that the company’s independent growth trajectory will deliver superior long‑term returns compared to a consolidation scenario.
The proxy fight introduces significant uncertainty for both companies. For Diana, a successful board replacement could pave the way for a merger that would create a combined fleet of over 80 vessels, potentially improving economies of scale and market reach. For Genco, the campaign could lead to increased legal and advisory costs, distraction from core operations, and a potential dilution of shareholder value if a takeover is eventually pursued. Investors will be watching closely to see whether the board change materializes and how it affects the companies’ strategic trajectories.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.