Monday, February 6, 2017

Shipping: Fredriksen’s Frontline Gets the Brush-Off From Acquisition Target (FRO; DHT)

Apparently seeing some value here.
From Splash 24/7:
US-listed tanker owner DHT Holdings has announced that its board has unanimously rejected a proposed offer by John Fredriksen’s Frontline to acquire all of the company’s outstanding shares of common stock.

Last Sunday, Frontline launched a bid for the company proposing to issue 0.725 of a Frontline share for each DHT share representing a price of $5.09 per DHT share.

DHT said that after a comprehensive review the board concluded that the Frontline proposal is wholly inadequate and not in the best interests of DHT or its shareholders.

Erik Lind, chairman of DHT, said: “We believe that Frontline’s proposal substantially undervalues our company and represents an opportunistic attempt to acquire DHT at a low point in the cycle.
“We are confident that DHT will generate significantly more value to shareholders as an independent company than the prospects afforded by this proposal.”...MORE
Here's the DHT Ann via gCaptain and Fleet Monitor's description: