Report Frontline Quits Gener8 Maritime Pursuit

first_imgzoom Norwegian tanker shipping giant Frontline has shelved its plans to purchase its US-based rival Gener8 Maritime, the Wall Street Journal reported.Fredriksen said earlier that he was looking into the purchase of a ship operator that ran at least 20 VLCCs, with Gener8 Maritime being singled out as the likely candidate.A vessel combination deal between Frontline and Gener8 Maritime, which operates a fleet of 23 tankers, would have created the world’s biggest tanker fleet, featuring 43 very large crude carriers.Frontline was linked with Gener8 Maritime after the Norwegian firm abandoned plans to acquire DHT Holdings after a number of unsuccessful bids for outstanding shares of common stock in the compatriot tanker owner.However, DHT’s Board turned down several offers from Frontline, deeming them inadequate.Following the latest dismissal of legal action against DHT Holdings by the Marshall Islands court, Frontline seems to have admitted defeat and is moving on.“We will not spend time pursuing the DHT track,” Reuters reported earlier today citing Frontline’s Chief Executive Robert Hvide Macleod as saying.Furthermore, prompted by the current market conditions in the sector, Fredriksen’s firm reportedly decided to abstain from merger and acquisition moves for the time being.World Maritime News Stafflast_img read more

HapagLloyd Ups Volume of Euro Bond Offering

first_imgzoom German shipping major Hapag-Lloyd has increased the volume of its euro bond offering from EUR 300 million to EUR 450 million due to high demand, the company informed.The proceeds will be used to redeem Hapag-Lloyd’s existing 7.75% and 7.50% senior euro notes due 2018 and 2019.The senior notes are issued with a maturity of seven years and a coupon of 5.125%. The emission price was 100%, the company added.“The successful placement is proof of the confidence Hapag-Lloyd enjoys on the capital markets as one of the world’s leading liner shipping companies,” Nicolás Burr, Chief Financial Officer of Hapag-Lloyd, said.“Now we can replace two existing notes with significantly more favorable notes, which will lower our interest burden,” Burr added.The notes will be listed on the Luxembourg Stock Exchange.last_img read more