Euronav says CMB offers to buy 26% stake, shares surge (updated)

Frontline

05/10/2023 14:54

(Adds details of offer paragraphs 3 - 5)
       Oct 5 (Reuters) - Euronav shareholder CMB is offering to
acquire Frontline's   FRO.OL  26.12% stake in the company for
$18.43 per share, which will be followed by a mandatory public
offer at the same price, Euronav said in statement.
    Shares of oil tanker company Euronav jumped around 18% as
trading reopened at 1330 GMT. Shares were suspended earlier in
the day after spiking on media reports about the company going
private.
    Shares traded at a 14.57 euros ($15.34) prior to the
suspension.
    The proposed transaction would also involve peer and
shareholder Frontline acquiring 24 VLCC tankers from the Euronav
fleet for $2.35 billion, Euronav said. "The discussions between
the parties are well advanced. However, there can be no
certainty that these discussions will lead to an agreement."
    The successful completion of the deal would end the
arbitration action initiated against Frontline by Euronav in
response to the Oslo-traded company's decision to scrap a $4.2
billion planned merger between both companies, which would have
created the world's largest publicly listed tanker company.


($1 = 0.9498 euros)

 (Reporting by Victor Goury-Laffont; Editing by Alexandra
Hudson)
 ((Victor.Goury-Laffont@thomsonreuters.com;))