Paragon Shipping 8.375% Senior Notes Due 2021 Finally Trading

Greek dry bulk shipper Paragon Shipping (ticker:RGN) issued Senior Notes last month which we announced on the 5th of August and they finally began trading last Friday. These notes have a coupon of 8.375% although it appears that trading began in the $22.50 area which implies a current yield of 9.3%. These notes mature in 2021 and this is the most attractive attribute to us.  On the other had we are not looking to buy any securities of dry bulk shippers as we have positions in shippers.  It should be noted that the financials of Paragon are pretty dicey and the risk may be more than the potential reward.

Bottom line is these shares are plenty risky and we have no interest. 

Details of the issue are here.