Dof wants to buy Maersk Supply Service for NOK 11.9 billion – E24

The Danish shipping company has become a major shareholder in the Finance Department after an agreement that will create one of the largest oil services companies on the Oslo Stock Exchange.

Case being updated…

This is evident from the stock exchange announcement on Tuesday evening:

• Dove wants to buy Danish oil services company Maersk Supply Service AB Moller HoldingAB Moller HoldingAP Møller Holding owns just over 40 percent of shipping giant AP Møller-Maersk.
• The settlement will be made partly in cash and partly in new shares to be issued by the Ministry of Finance.
• The total purchase price is $1.11 billion, equivalent to 11.9 billion kroner.
• The Danish shipping company will own 25 percent of Dof after the issue of consideration shares.
• This transaction is justified by the fact that the operations of the two companies are strategically and geographically integrated, and that their future growth ambitions are aligned.
• The market value of the merged companies is approximately NOK 24.6 billion.
• The Dof Group will have more than 5,400 employees and 78 vessels after the acquisition.
• Dof will raise over NOK 1 billion to partly finance the acquisition.
• The acquisition has the support of more than 50 percent of Dof shareholders.

– The deal represents a strategic milestone for Dof, says Dof CEO Mons Aase in the letter.

Frederiksen pumps in money

AP Moller Holding will receive US$577 million in cash and 58.88 million new Dof shares.

Dof will fund the cash portion of the acquisition by raising up to $125 million from investors and taking on $500 million in debt.

Jeffrey Fredericksen, the president of John Fredericksen, was among those who said they were willing to inject fresh money.

The report notes that investors who are not currently shareholders in the Ministry of Finance should not expect an allocation in the issue.