Nordic American Tanker (NAT) Prices 11M Shares at $10/Share

September 27, 2016 8:41 AM EDT

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Nordic American Tankers Limited (NYSE: NAT) today announced the pricing of its previously announced underwritten public offering pursuant to the Company's effective shelf registration statement. The Company agreed to sell 11,000,000 common shares at a public offering price of $10.00 per share. At the Company’s request, the underwriters have reserved for sale an aggregate of 534,000 common shares to all of the members of the Company’s board of directors, certain members of the Company’s management, and all of the Company’s advisors at the public offering price. The 534,000 common shares include approximately 100,000 common shares to be purchased by the Company’s Chairman and Chief Executive Officer and 400,000 common shares to be purchased by the Company’s Vice Chairman. The Company has granted the underwriters a 30-day option to purchase up to an additional 1,650,000 common shares. The Company intends to close the sale of the common shares on September 30, 2016, subject to customary closing conditions.

The Company intends to use the net proceeds of this offering primarily to finance the expansion of its fleet and for general corporate purposes. Immediately following the offering, the Company may use the proceeds of this offering to repay borrowings under its revolving credit facility pending application towards other uses.

Morgan Stanley & Co. LLC is acting as the bookrunning manager for the offering and DNB Markets, Inc. and Skandinaviska Enskilda Banken AB (publ) are acting as co-managers of the offering.

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