Yinson to buy Norway's Fred Olsen for RM551m

Yinson to buy Norway's Fred Olsen for RM551m
Business & Markets 2013
Written by Shalini Kumar of theedgemalaysia.com
Monday, 10 June 2013 17:58


A + / A - / Reset
KUALA LUMPUR (June 10): Logistics firm YINSON HOLDINGS BHD [] has proposed to acquire the entire stake in Norway-listed oil & gas support-services provider Fred Olsen Production ASA (FOP) for NOK995.74 million (RM551.34 million) cash.

In a filing with Bursa Malaysia, Yinson said it has signed a conditional takeover agreement with FOP for the acquisition at NOK9.40 or RM5.20 a share.

"The FOP Group owns and operates three FPSO (floating production, storage and offloading) vessels (one of which is owned on a 50/50 joint venture basis).

"Upon completion of the proposed acquisition, the Yinson Group will have an additional three FPSOs , all of which are contracted with the petroleum companies
and should give the Yinson Group a steady income stream," Yinson said.

The buyer said it intends to delist FOP from the Oslo Stock Exchage.

According to Yinson, it plans to finance the acquisition with proceeds from its on-going private placement, internally-generated funds and bank loans.

Meanwhile, Yinson said it has entered into an amended and restated agreement with Kencana Capital Sdn Bhd to issue 37.81 million new shares at RM2.82 each to the latter.

Yinson said it expects to raise RM106.62 from the exercise. The funds will be used to part finance the acquisition of FOP.

The proposed acquisition of FOP and share sale to Kencana are expected to be completed by the fourth quarter of this year.

hmm next time should follow fund manager..
this share many big kaki buy at rm1++ level 0.0