Greek Harry N. Vafias of Imperial Petroleum, a ship-owning company providing transportation services, reported the completion of the spin-off of its previously wholly-owned subsidiary, C3is Inc., the holding company for two drybulk carriers, which is effective on June 21.

Imperial Petroleum will retain an interest in C3is through its ownership of Series A Convertible Preferred Stock of C3is, which was not distributed by Imperial Petroleum in the spin-off.

The spin-off transaction was expected to be completed on or around June 21. The completion of the spin-off was subject to approval of the listing of C3is Inc.’s common shares on the Nasdaq Capital Market, as well as to the registration statement on Form F-1 being declared effective by the Securities and Exchange Commission.

It is worth mentioning that C3is Inc., is the newly formed subsidiary that will act as the holding company for the two drybulk carriers.

The board of directors of the company believes that the creation of a “pure play” drybulk shipping company will provide significant benefits to both companies and their shareholders.

The transaction will enable C3is Inc. to initially focus on the drybulk sector, while Imperial Petroleum gradually focuses on the tanker sector.

Each company will independently attract new investors and provide shareholders the flexibility to adjust their holdings according to the sectors in which they want to invest, in accordance with the company.

The Greek Harry N. Vafias Imperial Petroleum company owns a total of ten vessels, comprising of five M.R. product tankers, one Aframax oil tanker, two Suezmax tankers and two Handysize dry bulk carriers with a total capacity of 744,000 dwt.