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Investments in a Related Party and Other | 12 Months Ended
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Dec. 31, 2024
Transactions/Investments with Related Parties [Abstract] |
Investments in a Related Party and Other | 5. Investments in a related party and other a) OceanPal Inc., or OceanPal: As of December 31, 2024 and 2023, the Company was the holder of 500,000 Series B Preferred Shares and 207 of Series C Convertible Preferred Shares of OceanPal and 3,649,474 common shares, being 49 % of OceanPal’s common stock. As the Company applied the fair value option to its investment in the common shares of OceanPal that would otherwise be accounted for under the equity method of accounting, it also applied fair value to all of its financial interests in OceanPal. Series B preferred shares entitle the holder to 2,000 votes on all matters submitted to vote of the stockholders of the Company, provided however, that the total number of votes shall not exceed 34 % of the total number of votes, provided further, that the total number of votes entitled to vote, including common stock or any other voting security, would not exceed 49 % of the total number of votes. Series B Preferred Shares have no dividend or distribution rights. Series C preferred shares do not have voting rights unless related to amendments of the Articles of Incorporation that adversely alter the preference, powers or rights of the Series C Preferred Shares or to issue Parity Stock or create or issue Senior Stock. Series C preferred shares have a liquidation preference equal to the stated value of $ 1,000 and are convertible into common stock at the Company’s option commencing upon the first anniversary of the issue date, at a conversion price equal to the lesser of $ 6.5 and the 10-trading day trailing VWAP of OceanPal’s common shares, subject to adjustments. Dividends on each share of Series C Preferred Shares are cumulative and accrue at the rate of 8 % per annum. Dividends are payable in cash or, at OceanPal’s election, in kind. On October 17, 2023, the Company converted 9,793 of the 10,000 Series C Preferred shares of OceanPal to 3,649,474 common shares, having a fair value of $ 9,160 determined through Level 1 inputs of the fair value hierarchy, based on the closing price of OceanPal’s common shares on the date of conversion. Upon conversion the Company realized a gain of $ 1,742 , being the difference between the book value of the 9,793 Series C Preferred shares and the fair value of the common shares acquired and is included in gain/(loss) on related party investments, separately presented in the accompanying consolidated statements of income. Following the conversion, the Company is the beneficial owner of 49 % of the outstanding common stock of OceanPal and since the shares are listed at NASDAQ, the Company elected to account for its common stock ownership in OceanPal at fair value. As of December 31, 2024 and 2023, the Company’s investment in the common stock of OceanPal amounted to $ 4,235 and $ 8,138 , respectively, being the fair value of OceanPal’s common shares on that date, determined through Level 1 inputs of the fair value hierarchy. In 2024 and 2023, unrealized loss on investment amounted to $ 3,905 and $ 1,022 , respectively, resulting from such valuation, included in gain/(loss) on related party investments, separately presented in the accompanying consolidated statements of income. As of December 31, 2024 and 2023, the Company’s investment in the Series B preferred shares and Series C preferred shares, amounted to $ 180 and $ 180 , respectively, including $ 3 and $ 3 , respectively, dividends receivable on the Series C preferred shares, and are included in investments in a related party in the accompanying consolidated balance sheets. In 2023 and 2022, the Company distributed 13,157 and 25,000 Series D Preferred Shares, respectively, as non-cash dividends to its shareholders (Note 11). The Series D Preferred Shares were offered as non- cash consideration for the sale of the vessels Melia (in 2023) (Note 6) and Baltimore (in 2022) to OceanPal. The Company accounted for the transactions as a nonreciprocal transfer with its owners in accordance with ASC 845 and measured the fair value of the preferred shares on the date of declaration at $ 10,761 and $ 18,189 , respectively. The fair value of the Series D Preferred Shares was determined by using the income approach, taking into account the present value of the future cash flows, the holder of shares would expect to receive from holding the equity instrument. In 2023 and 2022, the transactions resulted in a gain of $ 761 and $ 589 , respectively, being the difference between the fair value and the carrying value of the investments, separately presented as gain/(loss) on related party investments in the related accompanying consolidated statements of income. In 2024, 2023 and 2022, dividend income from the Series C and Series D OceanPal preferred shares amounted to $ 17 , $ 801 and $ 917 , respectively, included in interest and other income in the accompanying consolidated statements of income. b) Investment in equity securities: In 2023, the Company acquired equity securities of an entity listed in the NYSE which as of December 31, 2023 had a fair value of $ 20,729 . The equity securities were initially recorded at cost amounting to $ 17,916 and measured at year-end at fair value, determined through Level 1 of the fair value hierarchy. The securities were considered marketable securities that were available to be converted into cash to fund current operations and were classified in current assets in the accompanying consolidated balance sheet. The Company sold all securities during the first quarter of 2024 and in 2024 and 2023, recorded a realized loss of $ 400 and an unrealized gain of $ 2,813 , respectively, presented in gain/(loss) on equity securities in the accompanying consolidated statements of income.

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- Definition The entire disclosure for investment. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 320 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/320/tableOfContent Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Name Accounting Standards Codification -Topic 321 -Publisher FASB -URI https://asc.fasb.org/321/tableOfContent Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef -Name Accounting Standards Codification -Topic 325 -Publisher FASB -URI https://asc.fasb.org/325/tableOfContent + Details
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