Incorporation and Recent Events

Incorporation

Euroseas was formed on May 5, 2005 under the laws of the Republic of the Marshall Islands.

Spin-off of Euroseas' Dry Bulk Fleet into a Separate Company

On May 31, 2018, Euroseas Ltd. announced that it has completed the spin-off of its drybulk fleet into EuroDry Ltd. Euroseas shareholders received one EuroDry Ltd share for every five shares of the Company they owned. Shares of EuroDry Ltd. commenced trading on May 31, 2018 on the NASDAQ Capital Market under the symbol "EDRY."

Euromar

On September 12, 2017, Euroseas Ltd. announced that it acquired the 85.714% interest in Euromar it did not already own for nominal cost. As a result of the acquisition, Euromar, which was a joint venture among Euroseas and two private equity firms, became a wholly-owned subsidiary of Euroseas.

Rights Offering

The rights offering expired on September 17, 2015, and shareholders subscribed for 2,343,335 shares of common stock at a price of $4.50 per share, for gross proceeds of $10.55 million.

* Adjusted for the company's 1:10 reverse common stock split

The Company completed a 1-for-10 reverse stock split, effective at the close of trading on July 22, 2015. The Company's common shares began trading on a split-adjusted basis on July 23, 2015.

Private Placement

On March 11, 2014, we entered into an agreement to sell approximately 11.2 million shares of our common stock in a private placement at a price of $1.3435 per share to an institutional investor for expected net proceeds of approximately $14.4 million. The transaction closed on March 14, 2014. RMK Maritime acted as an advisor to the Company in the transaction.

Series B Convertible Perpetual Preferred Shares

On January 27, 2014 we entered into an agreement to sell 25,000 shares of our Series B Convertible Perpetual Preferred Shares to a fund managed by Tennenbaum Capital Partners, LLC ("TCP") and 5,700 shares to Preferred Friends Investment Company Inc, an affiliate of Euroseas, for expected net proceeds of approximately $29 million. The transaction closed on January 29, 2014. RMK Maritime acted as an advisor to the Company in the transaction.

Rights Offering

The rights offering expired on June 15, 2012 and was oversubscribed, including the exercise of basic subscription privileges and oversubscription privileges, at a price of $1.10 per share for 13,852,094 shares of common stock of the Company.

Joint Venture with Eton Park Capital Management, L.P. and Rhone Capital

On December 22, 2009, we entered into a non-binding Letter of Intent with Eton Park Capital Management, L.P. on behalf of one or more funds managed by Eton Park and Rhone Capital III L.P. to form a joint venture to pursue investment opportunities in shipping.

Follow-on offering

On November 9, 2007, we completed our follow-on offering of 6,325,000 shares at $17 per share.

On July 5, 2007, we completed our follow-on offering of 5,750,000 shares at $13.50 per share including the full exercise of the underwriters over allotment option.

On February 5, 2007, we completed our follow-on offering of 5,750,000 shares at $8.25 per share including the full exercise of the underwriters over allotment option. Since January 31, 2007, Euroseas stock has traded on the NASDAQ Global Market under the symbol "ESEA".

* Adjusted for the company's 1:3 reverse common stock split.

The Company registered the shares sold in the private placement and started trading in the over the counter bulletin board on October 6, 2006, a 1:3 reverse common stock split was effected.

Private Placement and Merger with Cove

On August 25, 2005, we raised approximately $21 million in gross proceeds from a private placement transaction (the "Private Placement") of our securities to a number of institutional and accredited investors.

In the Private Placement, we issued 2,342,331* shares of common stock at a price of $9.00* per share, as well as warrants to purchase an additional 585,589* shares of common stock. The warrants have a five year term and an exercise price of $10.80*.

Vessel Transactions

On June 28, 2018, Euroseas Ltd. announced the delivery of M/V Monica P, to its buyer.

On May 7, 2018, Euroseas Ltd. took delivery of its newbuilding vessel, M/V Ekaterini, a 82,000 dwt, 2018 built Kamsarmax bulk carrier.

On April 11, 2018, Euroseas Ltd. announced the sale of M/V Monica P, a 46,667 dwt vessel, built in 1998, to unaffiliated third party for the gross amount of $6.45 million.

On December 27, 2017, Euroseas Ltd. announced that it took delivery of M/V Akinada Bridge, a 5,600 teu post-panamax size container vessel built in 2001 in South Korea.

On December 27, 2017, Euroseas Ltd. announced that it sold one of its 90's-built container feeder vessels, M/V Aggeliki P, a 2,008 teu vessel built in 1998, for a gross price of about $4.6 million.

On October 2, 2017, Euroseas Ltd. announced that it exercised its option to purchase from Euromar, the M/V EM Corfu and the M/V Akinada Bridge. The M/V EM Oinousses, M/V EM Corfu and M/V Akinada Bridge are expected to be delivered to the Company in the fourth quarter 2017.

On September 12, 2017, Euroseas Ltd. signed a memorandum of agreement to purchase the M/V EM Athens and EM Oinousses, both feeder size containership vessels of 2,506 teu built in 2000 from Euromar LLC, a wholly-owned subsidiary of the Company.

On September 12, 2017, Euroseas announced that it acquired the option to purchase from Euromar two container vessels, the M/V EM Corfu, a feeder size containership vessel of 2,556 teu built in 2001, and the M/V Akinada Bridge, a post-panamax size container vessel of 5,600 teu built in 2001 until September 30, 2017.

On May 30, 2017, the Company announced that it signed a memorandum of agreement to purchase the M/V EM Astoria, a feeder size containership vessel of 2,788 teu built in 2004, at market price from Euromar LLC, the Company's joint venture with two private equity firms. The vessel is expected to be delivered to the Company in June 2017.

On March 30, 2017, the Company announced that it has signed an addendum to its newbuilding contract with Jiangsu Yangzijiang Shipbuilding Co. for Hull Number YZJ 1153, originally entered into in 2014, and will proceed with the construction of the vessel. The vessel, an eco-design fuel efficient Kamsarmax drybulk carrier will have a carrying capacity of 82,000 dwt, will be delivered to Euroseas by June 2018.

On January 23, 2017, the Company announced that it has entered into an agreement to sell for scrap the M/V RT Dagr, a 1,645 teu feeder containership, built in 1998, for net sale proceeds of about $2.1 million.

On January 17, 2017, the Company took delivery of the previously announced acquisition of the newbuilding Alexandros P, a 63,500 dwt fuel efficient Ultramax drybulk carrier built in January 2017.

On January 10, 2017, the Company took delivery of the previously announced acquisition of M/V Tasos, a 75,100 dwt Panamax drybulk carrier built in 2000.

On December 27, 2016, the Company took delivery of the M/V RT Dagr, a 1,645 teu feeder containership built in 1998.

On December 27, 2016, the Company agreed to sell for scrap the M/V Eleni P, a 72,119 dwt 1997-built drybulk carrier.

On December 21, 2016, the Company signed an agreement to acquire from Dayang shipyard, Hull DY160, an Ultramax drybulk carrier, of 63,500 dwt built 2017. The vessel will be acquired for approximately 62% of its contracted price in early 2014. The Company will apply the construction deposits already paid for Hull DY160 and a sister vessel, Hull DY 161, and contribute nominal incremental cash. Following delivery, Hull DY 160 will be named "Alexandros P".

On December 15, 2016, the Company signed a memorandum of agreement to purchase the M/V RT Dagr, a feeder containership vessel of 1,645 teu built in 1998 in Germany, for approximately 900,000 shares of the Company's common stock.

On November 23, 2016, the Company signed a memorandum of agreement to purchase the M/V Tasos, a Panamax size drybulk carrier of 75,100 dwt built in 2000 in Japan for approximately $4.4 million.

The Company has canceled its two Ultramax newbuilding contracts with Yangzhou Dayang Shipbuilding Co., Ltd., due to excessive delays in the construction of vessels, Hull DY 160 and Hull DY 161.

On August 11, 2016, The Company agreed to purchase the M/V Aegean Express, a 1997-built 1,439 teu fully cellular containership for approximately $3 million.

On May 10, 2016, the Company sold the Captain Costas, a 1,742 TEU Container vessel, built in 1992, to an unaffiliated third party for recycling.

On February 26, 2016, the Company took delivery of the M/V Xenia, a "eco" design Kamsarmax fuel efficient drybulk carrier with a carrying capacity of 82,000 dwt. from Jiangsu Yangzijiang Shipbuilding Co.

On January 5, 2016, the Company sold the Despina P, a 1,932 TEU Container vessel, built in 1990, to an unaffiliated third party for recycling.

On January 5, 2016, the Company sold the Aristides NP, a 69,268 dwt drybulk carrier, built in 1993, to an unaffiliated third party for recycling.

On November 27, 2015, the Company sold the Marinos, a 1,599 TEU Container vessel, built in 1993, to an unaffiliated third party for recycling.

On October 26, 2015, the Company sold the Tiger Bridge, a 2,228 TEU Container vessel, built in 1990, to an unaffiliated third party for recycling.

On April 2, 2014, the Company signed a contract for the acquisition of two Eco design kamsarmax fuel efficient drybulk carriers, with a carrying capacity of 82,000 dwt each, to be built at Jiangsu Yangzijiang Shipbuilding Co. The total consideration for these two newbuilding contracts is a bit below $60 million.

In February 2014, the Company signed a memorandum of agreement to acquire the 76,466 dwt panamax drybulk vessel, Eirini P, built in 2004, in Japan.

On December 3, 2013, the company signed a contract for the construction of two Ultramax fuel efficient drybulk carriers, with a carrying capacity of 63,500 dwt each and will be built at Yangzhou Dayang Shipbuilding Co., Ltd., member of Sinopacific Shipbuilding Group. The aggregate purchase price of the two newbuilding vessels is approximately $56 million.

On July 10, 2013, the company sold for scrap the M/V Irini, a 69,734 dwt panamax size drybulk carrier built in 1988, for approximately $3.9 million resulting in approximately $1.3 million gain on the sale.

On June 18, 2013, the company announced that it sold for scrap one of the oldest container vessels in its fleet, the M/V Anking, a 950 teu multipurpose vessel built in 1990 for approximately $3.7 million. Furthermore, the Company also announced that it, signed a memorandum of agreement to purchase the M/V Wehr Flottbek, a geared containership of 22,301 dwt and 1,738 teu built in 1999 for approximately $5.9 million. The vessel, is to be renamed "Joanna."

On June 23, 2010, the company announced that it has taken delivery of M/V Oder Trader, an intermediate containership of 2,008 twenty foot equivalent units (teu) built in 1998 in Poland. The vessel, acquired for $15.85 million as previously announced, will be renamed M/V Aggeliki P.

On December 22, 2009, we sold the two oldest vessels in our fleet, M/V Gregos and M/V Artemis. M/V Gregos, was sold for approximately $7.9 million and the M/V Artemis was sold for scrap for $282/lwt, or approximately $3.2 million

On July 23, 2009, the company took delivery of M/V Pantelis, a Panamax drybulk carrier of 74,020 dwt, built in 2000 in Japan.

On June 11, 2009, the company announced that it signed a Memorandum of Agreement to a Panamax drybulk carrier of 74,020 dwt, built in 2000 in Japan, for approximately $27.5 million. The vessel comes with a time charter back to the seller until January 2010 at a gross daily rate of $25,200 per day and is expected to be delivered to the Company between July 1, 2009 and August 5, 2009.

On January 21, 2009, the company took delivery of M/V Monica P, a handymax drybulk carrier of 46,667 dwt built in 1998 in Japan.

On December 30, 2008, the company signed a Memorandum of Agreement to sell M/V Ioanna P, a Panamax drybulk vessel of 64,873 dwt built in 1984 in Japan. The M/V Ioanna P was sold for approximately $3.85 million. The vessel will be delivered to her new owners within January 2009.

On December 5, 2008, the company signed a Memorandum of Agreement to purchase the Monica P (ex Solar Europe), a handymax drybulk carrier of 46,667 dwt built in 1998 in Japan, for approximately $18 million. The vessel is expected to be delivered to the Company`s fleet around January 31, 2009.

On May 27, 2008, the company took delivery of M/V Maersk Noumea, an intermediate container ship of 34,677 dwt and 2,556 twenty foot equivalent units (teu) built in 2001 in South Korea.

On May 19, 2008, the company signed a Memorandum of Agreement to purchase the M/V Maersk Noumea, an intermediate container ship of 34,677 dwt and 2,556 twenty foot equivalent units (teu) built in South Korea. The M/V Maersk Noumea was acquired for $43.5 million and was taken delivery on May 27, 2008.

On October 4, 2007, the Company signed a Memorandum of Agreement to purchase the M/V Ioanna P (ex Trust Jakarta), a Panamax drybulk vessel of 64,873 dwt built in 1984 in Japan. The M/V Ioanna P was acquired for approximately $ 28.6 million and and was taken delivery on November 2, 2007.

On August 30, 2007, the Company signed a Memorandum of Agreement to purchase the M/V Tiger Bridge (ex City of Hamburg), an intermediate container ship of 30,400 dwt and 2,228 twenty-foot equivalent units (teu) built in 1990 in Korea. The M/V Tiger Bridge, was acquired for approximately $ 24.0 million and was taken delivery of the vessel on October 8, 2007.

In August 2007 took delivery of two Handysize container ships, Jonathan P (ex Honor River) and Despina P (ex Beauty River) each with a capacity of 33,667 dwt and 1,932 teu., built in 1990 in South Korea.

On June 18, 2007 took delivery of a Handysize containership, Clan Gladiator, with 1,742 teu and 30,007 dwt, was built in 1992.

On April 17, 2007 took delivery of a Handysize containership, called Manolis P that was built in 1995 in Germany, with 1,452 teu and 20,346 dwt.

The company replaced the M/V Ariel by purchasing the M/V Gregos a 38,691 dwt Handysize drybulk carrier built in 1984 in Japan

On November 15, 2006 took delivery of a Handysize container ship called YM Xingang I that was built in 1993, with 1,599 teu and 23,596 dwt.

On July 25, 2006 announced the agreement to purchase a Panamax dry bulk carrier vessel called m/v Aristides N.P. ( ex Torm Tekla) that was built in 1993, with 69,268 dwt.

On April 27, 2006 took delivery of a multipurpose dry cargo vessel called m/v Tasman Trader that was built in 1990, with 950 teu and 22,568 dwt.

On November 25, 2005 took delivery of a containership called m/v Roseleen (ex Sea Arrow - renamed Artemis ) that was built in 1987, with 2,098 teu and 29,693 dwt.

At the same time the company sold three of its older vessels realizing a $7.9 million of capital gains.