Euronav rises as shareholders reach deal on acquisition

Frontline

09/10/2023 08:27

** Shares in Euronav  EUAV.BR  rise about 2% to 16.6 euros
after its major shareholders Compagnie Maritime Belge (CMB),
Frontline  FRO.OL , and Famatown reached an agreement following
takeover talks announced last week
    ** Antwerp-based CMB will acquire Frontline's  FRO.OL 
26.12% stake for $18.43 per share, which will be followed by a
mandatory public offer at the same price
    ** The proposed transaction also involves Frontline
acquiring 24 VLCC tankers from the Euronav fleet for $2.35
billion
    ** "We view this as a fair offer, and do not expect it to
increase", Stifel said last week after talks confirmation,
adding price is only a 3% discount to NAV and a 12.5% premium to
where the stock was trading in September
    ** "We understand a simple majority is required for
approval, meaning it is likely a "done deal" given the CMB and
Fredriksen stakes combine to above 50%," Jefferies noted at the
time
    ** CMB, which currently owns 22.93% of Euronav shares,
opposed the merger between the tanker and its peer Frontline
last year, resulting in Frontline scrapping a $4.2 billion deal
that would have created the world's largest publicly listed
tanker company
    ** Euronav shares will continue trading in Paris and New
York following deal completion, CMB says

 (Reporting by Federica Mileo)
 ((Federica.mileo@thomsonreuters.com))