Euronav confirm Gener8 Maritime merger
In a press release this morning Euronav and Gener8 Maritime have confirmed, that the two companies are merging to become one company. The company will be one of the largest tanker companies with a fleet, which consists of 75 ships.
Gener8 Maritime’s shareholders will as payment for the company get shares in Euronav for a value based on Gener8 Maritimes stock value on the 20th of December with an additional 35 pct. Euronays existing shareholders will, after the merger, own 72 pct of the shares in the company, while Gener8’s shareholders hold 28 pct.
Euronays current management team with Paddy Rogers as CEO will be in charge of running the merged company, the companies have stated in the press release.
”This transition marks an existing evolvement for Euronav. The merger will create a leading tanker company, which will be better at providing solutions for our customers needs and support our partners,” Says Paddy Rogers.
The chairman and founder of Gener8 Maritime, Peter Georgiopoulos, says that he has always advocated for consolidation in the shipping industry and has stated that ”Gener8 would be interested in buying or selling, depending on what is in the best interest of our share holders”.
“This transaction will create the largest independent VLCC fleet in the world. The merged company has a very bright future and will be beneficial for shareholders of Gener8 as well as Euronav.” He states in the press release.
In connection to the merger the company has made a deal to sell six modern VLCC’s to an unnamed third part for an amount of 434 million Dollars. Together, the fleets capacity will be more than 18 million dwt, the company informs.
The deal has to be approved by Gener8 Maritimes group of shareholders, who are in control of 48 pct of the shares. The shareholders have already signed or are expected to sign the deal, which will make the merger complete from April next year.
Source: Euronav & Gener8 Maritime / Maritime Denmark