Terms

Series

Series B Cumulative Redeemable Perpetual Preferred Stock

Liquidation Preference

$25.00

Coupon Rate

8.75%

Rate Type

Fixed

Annual Dividend

$2.19

Payment Frequency

Quarterly

Cumulative

Yes

Perpetual

Yes

Convertible

No

Callable

Yes

First Call Date

September 23, 2025

First Call Price

$25.00

Redemption Notice Period

45 days

Capital Stack Ranking

Junior To: All Indebtedness And Other Liabilities, Senior Securities (Any Preferred Stock Expressly Designated As Senior To Series B); Pari Passu With: Parity Securities (Any Class Or Series Of Preferred Stock Expressly Designated As Ranking Pari Passu); Senior To: Class A Common Stock, All Junior Securities (Any Junior Preferred Stock Or Other Classes Of Capital Stock Junior To Series B)

Credit Rating (Moody's)

Ba2

Credit Rating (S&P)

BB+

Regulatory (Basel III) Call

No

Tax Classification

Ordinary

Depositary Share Fraction

0.01

Shares Offered

6,000,000

Prospectus Summary

Global Ship Lease, Inc. is offering up to $150 million of depositary shares (symbol GSL-B on NYSE), each representing 1/100th of a Series B Cumulative Redeemable Perpetual Preferred Stock with a $25.00 liquidation preference per depositary share. The security pays a fixed dividend of 8.75% per annum ($2.1875 per depositary share annually, or $0.21875 quarterly) on January 1, April 1, July 1, and October 1. The shares are cumulative, meaning unpaid dividends accrue and must be paid before any dividends on common stock, and they are redeemable at any time at the issuer's option at $25.00 per share plus accrued dividends. The Series B Preferred Shares rank junior to all of Global Ship Lease's indebtedness (currently $768.5 million outstanding as of June 30, 2025) and senior to the company's Class A common stock. As a perpetual equity security, the preferred shares have no maturity date and no claim to principal repayment, distinguishing them from debt. The company's substantial debt load, combined with the subordinated nature of this preferred equity, means that in a bankruptcy or liquidation, all debt holders and their agents would be paid before preferred shareholders receive any liquidation preference of $25.00 per share plus accrued dividends. At a market price of approximately $27.93 per share (as of September 17, 2025), the 8.75% coupon yields roughly 7.87% per share paid quarterly. Dividends are subject to withholding and other governmental charges, and the prospectus references tax treatment in the company's 2024 Annual Report but does not explicitly confirm whether dividends qualify for the preferential qualified dividend income (QDI) rate or the dividends-received deduction (DRD) for corporate holders — given that Global Ship Lease is a foreign private issuer and operates in the shipping industry, such preferential treatment is uncertain. Dividend payments are blocked if six consecutive quarterly dividends are unpaid, at which point holders gain limited voting rights (one director seat for the class).

Summarized from the SEC prospectus filing.

Distribution History

Ranking vs. Other Preferreds

Dividend Stopper Provisions

Dividend Stopper Description

No dividend may be declared or paid on junior securities (common stock or other junior preferred stock) unless full cumulative dividends on the Series B Preferred Shares and any parity securities have been or are being paid through the most recent dividend payment dates.

Other Preferreds from Global Ship Lease Inc

Div Score Breakdown

Reinvesty's multi-factor safety analysis for this preferred, composite score: 67 (Strong)