UPDATE 1-Quintana Maritime cancels sale process, shares sink

(Recasts, adds details, share movement)

Jan 22 (Reuters) - Greek drybulk carrier Quintana Maritime Ltd QMAR.O, which had put itself up for sale last year, took itself off the market due to a lack of financially attractive proposals, sending its shares down by more than 12 percent.

The company also cited the recent volatility in the dry bulk charter market and decline in share prices across the dry bulk sector as a reason to terminate its sale process.

The dry bulk freight rates have been on a free fall so far this year due to lack of fresh cargo supply in key global export centers and growing fears of a U.S. recession.

The Baltic Exchange's chief sea freight index for dry commodities .BADI, which monitors major trade routes for coal, iron ore, cement and soft commodities such as grain and sugar, touched a new low of 6,437 points today, since hitting a life high of 11,039 in November last year.

Falling freight rates and the subsequent dip in share prices of major dry bulk carriers also prompted Greek drybulk carrier DryShips Inc (DRYS.O) to defer its 3-for-1 stock split last week.

Quintana had adopted a shareholder rights plan, a provision that makes hostile takeovers difficult, in November last year. This followed its October announcement of its plans to evaluate strategic alternatives.

Shares of the company, which have fallen 40 percent so far this year, were trading down $1.97 at $13.68 in morning trade on the Nasdaq. (Reporting by Sakthi Prasad in Bangalore; Editing by Amitha Rajan)