Dry bulk shipper’s shares rise about 29 pct to $1.33 in premarket trade; on track to end 4-day losing streak that erased about 60 pct of stock’s value.

Lawsuit alleges breaches of fiduciary duty, unjust enrichment, and conflict of interest against company and its CEO and chairman George Economou.

Economou is also CEO of offshore driller Ocean RIG UDW Inc, which filed for Chapter 15 bankruptcy protection in a U.S. court earlier this year.

DRYS took delivery of a dry bulk vessel on Wednesday, which will be contracted to a coal and steel trader.

DRYS has announced 4 reverse stock splits this year; shares fell as much as 32 pct following its latest stock split on June 19.

Shipping stocks rose dramatically late last year as investors reacted to shipping rate increases and the U.S. election – DRYS 5-day surge added nearly 1,500 pct to the stock’s value.

Source: Reuters