Performance Shipping Inc. Announces Pricing of $12.5 Million Registered Direct Offering

ATHENS, Greece, March 1, 2023 -- Performance Shipping Inc. (NASDAQ: PSHG) (“we” or the “Company”), a global shipping company specializing in the ownership of tanker vessels, announced today that it has entered into a securities purchase agreement with several institutional investors to purchase approximately 5,556,000 of its common shares, Series A warrants to purchase 3,611,400 common shares, and Series B warrants to purchase 4,167,000 common shares at a purchase price of $2.25 per common share together with the accompanying warrants in a registered direct offering (the “Offering”). The warrants will be immediately exercisable, will expire five years from the date of issuance, and will have an initial exercise price of $2.25 per common share. Alternatively, each Series A warrant will become exchangeable for no additional consideration for the number of common shares issuable upon cash exercise of the warrant, beginning on the earlier of 30 days following the closing of the Offering and the date on which the cumulative trading volume of the Company’s common stock exceeds 15,000,000 shares. The gross proceeds to the Company from the Offering are estimated to be approximately $12.5 million before deducting the placement agent’s fees and other Offering expenses.

Maxim Group LLC is acting as the sole placement agent in connection with the Offering. The Offering is expected to close on or about March 3, 2023, subject to the satisfaction of customary closing conditions.

The securities described above are being offered pursuant to the Company’s shelf registration statement on Form F-3 (File No. 333-237637), which was declared effective by the U.S. Securities and Exchange Commission (the "SEC") on April 23, 2020. The Offering will be made only by means of a prospectus supplement that forms a part of such registration statement. A prospectus supplement relating to the securities will be filed by the Company with the SEC. When available, copies of the prospectus supplement relating to the Offering, together with the accompanying prospectus, can be obtained at the SEC's website at www.sec.gov or from Maxim Group LLC, 300 Park Avenue, New York, NY 10022, Attention: Syndicate Department, or via email at syndicate@maximgrp.com or telephone at (212) 895-3745.

This press release does not constitute an offer to sell or the solicitation of an offer to buy, nor will there be any sales of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.