Euronav sights $185m from IPO
Euronav has today launched its long-anticipated US IPO with a $201m shares sale.
Paddy Rodgers, chief executive of Euronav
Paddy Rodgers-led Euronav has set its sights on proceeds of $160.5m from the offering of 13,550,000 ordinary shares.
Its purse will hit $185.1m should underwriters take up their options.
Its figures are based on a price of $12.94 per share, a number which stems from the value of its shares which trade on the Euronext Brussels.
Funds from the IPO will be diverted both to repay debt and continue an ambitious fleet growth plan which started a year ago with a $980m move for 15 VLCCs.
Deutsche Bank, Citigroup, J.P. Morgan Securities and Morgan Stanley are acting as joint book-running managers.
DNB Markets, Skandinaviska Enskilda Banken and Evercore Group are acting as senior managers, while ABN Amro Securities, Scotia Capital, Clarkson Capital Markets and KBC Securities are involved as co-managers.
Tankers to stay strong
Euronav’s move comes with VLCCs enjoying the best start to a year since the financial crisis struck in 2008 and only a few months after it delayed the listing due to stock market turbulance.
“We believe that crude oil tanker rates should remain strong in the coming months due to positive seasonal demand factors and improving underlying supply/demand fundamentals,” its updated IPO prospectus said.
It is taking a fleet of 52 vessels to the New York Stock Exchange, including 26 VLCCs, 23 suezmaxes and two FSOs.
Euronav says 25 of its vessels trade in the Tankers International pool, in which it holds a 41.1\% stake.
A further 14 trade directly in the spot market, and 11 are on time charters with an average of 13.6 months to run. Its FSOs are on long-term contracts.
Euronav reveals the IPO will the cut the holding of chairman Peter Livanos from 14.5\% to 12\% despite his 19,003,509 shares remaining unchanged,
Marc Saverys will own 10.7\% with an increased 17,026,896 shares to his name.
York Capital will remain the largest independent shareholder with a reduced 7.6\% slice, while Blue Mountain Capital and Golden Tree Asset Management will have 5.6\% and 6\% respectively.
source:www.tradewindsnews.com
