General Maritime (NYSE:GMR) Removes Liquidity Uncertainty with Asset Sale Announcement

Any concerns over the liquidity of General Maritime (NYSE:GMR) could be laid to rest on the news they're going to sell three refined products tankers for $61.7 million, and then lease them back.

Jefferies said, "GMR shares have significant upside potential with the Company's recent asset sale announcement alleviating any near-term liquidity uncertainties and the Company's significant spot market exposure positioning General Maritime to benefit from an anticipated improvement in crude tanker charter rates in 2H11."

In response, Jefferies raised their full year 2011 EPS estimate on General Maritime from $0.52 to $0.58,

Jefferies maintains their "Buy" rating on General Maritime (GMR), which closed Wednesday at $3.23, dropping $0.12, or 3.53 percent. Jefferies lowered their price target on GMR from $6 to $5.