Aker Philadelphia Shipyard USD 60 million private placement fully subscribed
Aker Philadelphia Shipyard ASA (OSLO AKPS) has completed a private placement of USD 60 million, or 2.25 million shares at an issue price of NOK 165 per share, in a book building process directed primarily towards U.S. institutional investors. The share issue was substantially over-subscribed, the company said in its press release.
The CEO of Aker Philadelphia Shipyard, Kristian Røkke, commented: "We appreciate the strong interest shown in AKPS and are pleased to have strengthened our balance sheet in a way that gives flexibility to capitalize on attractive opportunities in the Jones Act."
The Private Placement will increase the Company’s financial flexibility, and the net proceeds will be used to provide for near-term funding of the tankers being built in partnership with Crowley, fund the equity investment in these vessels and other potential joint venture vessels, and provide for general corporate purposes.
At the issue price, the market capitalization would increase from NOK 1,677 million to NOK 2,049 million, thereby increasing free float and liquidity in the share to the benefit of the Company’s shareholders. The equity issue is subject to approval by an Extraordinary General Meeting, expected to be held on or about 7 February, 2014. The Board intends to carry out a subsequent offering of up to 337,000 shares, or fifteen percent (15%) of the completed private placement, in order to offer shares to existing shareholders that did not participate in the private placement.
Converto Capital Fund AS currently owns 7,237,631 shares in the Company. Upon approval of the equity issue at the Extraordinary General Meeting, Converto Capital Fund AS will own the same number of shares as it owns today and those shares will represent 58.3% of the outstanding shares (after giving effect to the completion of the private placement, but not the subsequent offering).
