'Breaking the stalemate': Stifel, Citi cut Euronav after CMB, Frontline deal

Frontline

10/10/2023 14:13

** Stifel and Citi both cut Euronav  EUAV.BR  to "hold" and
"neutral" respectively, following Monday's deal between major
shareholders Compagnie Maritime Belge and Frontline  FRO.OL ,
granting CMB the control of the oil tanker company
    ** CMB will buy Frontline's 26.12% stake in Euronav for
$18.43 per share, bringing its holding to 49%, and own 53% of
voting rights
    ** Stifel says they "view this as a reasonable price and
unlikely to be improved upon," adding it expects the company to
be taken private in the next few quarters
    ** CMB says it intends to keep Euronav listed and does not
plan to launch a squeeze-out
    ** Citi expects "limited share price appreciation"
    ** The brokerage sees the deal as "providing resolution to
the strategic stalemate following the scuttled Euronav/Frontline
merger, with reasonable upside for shareholders"
    ** At 1312 GMT, Euronav shares slip 0.2% to 16.69 euros

 (Reporting by Stéphanie Hamel)
 ((stephanie.hamel@thomsonreuters.com))