DHT to buyout Saga Tankers
NYSE listed DHT Holdings, Inc. is to offer to acquire all of the shares of Oslo Axess listed Saga Tankers ASA ("Saga"). The Board of Directors of Saga has agreed to recommend the DHT offer to its shareholders, MarineLog reported.
The boards of the two companies have entered into an agreement that will see DHT put forward a recommended voluntary exchange offer pursuant to the Norwegian Securities Trading Act for all of the shares of Saga. The consideration offered will be 0.25 DHT shares per Saga share.
The offer consideration corresponds to NOK 5.44 per Saga share, based on the closing share price of DHT on 27 May 2011 of USD 4.01, applying an USDNOK exchange rate of 5.43, and values the total share capital of Saga at approximately NOK 472.4 million or USD 87.0 million. This represents a premium of approximately 56 percent to the closing share price of Saga on May 2011, the last trading day prior to the announcement of the Offer and a premium of approximately 35 percent to the one month volume weighted average share price of Saga for the period ending on 30 May 2011.
Shareholders representing 75.2 percent of the total share capital of Saga have already given their pre-acceptances to the offer.
Saga is a Norwegian based tanker company listed on the Oslo Stock Exchange Axess list, ticker code "SAGA". The company owns a fleet of four VLCCs, three of which are built in 2000 and one of which is built in 1995. Three vessels are operating in the spot market while one vessel is on time charter until the third quarter of 2012.
The combined company will operate a fleet of 16 quality crude oil tankers, of which 15 will be wholly owned. The combined fleet will consist of 10 VLCCs, 2 Suezmaxes and 4 Aframaxes, operating both on charter contracts and in the spot market.
The boards of the two companies have entered into an agreement that will see DHT put forward a recommended voluntary exchange offer pursuant to the Norwegian Securities Trading Act for all of the shares of Saga. The consideration offered will be 0.25 DHT shares per Saga share.
The offer consideration corresponds to NOK 5.44 per Saga share, based on the closing share price of DHT on 27 May 2011 of USD 4.01, applying an USDNOK exchange rate of 5.43, and values the total share capital of Saga at approximately NOK 472.4 million or USD 87.0 million. This represents a premium of approximately 56 percent to the closing share price of Saga on May 2011, the last trading day prior to the announcement of the Offer and a premium of approximately 35 percent to the one month volume weighted average share price of Saga for the period ending on 30 May 2011.
Shareholders representing 75.2 percent of the total share capital of Saga have already given their pre-acceptances to the offer.
Saga is a Norwegian based tanker company listed on the Oslo Stock Exchange Axess list, ticker code "SAGA". The company owns a fleet of four VLCCs, three of which are built in 2000 and one of which is built in 1995. Three vessels are operating in the spot market while one vessel is on time charter until the third quarter of 2012.
The combined company will operate a fleet of 16 quality crude oil tankers, of which 15 will be wholly owned. The combined fleet will consist of 10 VLCCs, 2 Suezmaxes and 4 Aframaxes, operating both on charter contracts and in the spot market.
