DIANA Shipping saw its share price rise by 6.7% after tabling an offer to shareholders for the repurchase of up to 15m shares, valid up to the last day of the year.

The maximum size of the buyback is equivalent to about 12% of the company’s stock, and the offer is not conditional on any minimum amount being tendered, the company said.

The New York-listed dry bulk carrier owner is offering $2 per share, while the stock’s price closed at $1.91 at the end of trading on Monday.

Diana said that its board had determined the move to be in the company’s best interest given its current cash position and stock price.

It will use company cash to fund the buyback.

At the end of September, the Greece-based owner was sitting on cash of nearly $187m.

The fleet comprises 38 bulkers on the water, with an additional two methanol dual-fuel kamsarmax newbuildings on order.

At the same time, Diana has clinched a 10-12 month charter for one of its ultramaxes, DSI Aquarius (IMO: 9749269), with Geneva-based trader Bunge.

With a gross daily charter rate of $13,300, the charter is expected to generate about $4m in gross revenues over the minimum period of the employment.

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