DFDS raises £118 million in new share issue to fund Turkish transaction
By Grimsby Telegraph | Posted: 15 May 2018
SHIPPING giant DFDS has raised nearly £120 million with a new share offer to help part-finance the buy-out of UN RoRo.
An extraordinary board meeting was held in Copenhagen yesterday (May 14), with approval given to issue what was one billion Danish Krone, on the country's stock exchange at the close of trade.
This morning it announced it had sold 2.63 million shares at DKK 380 (£44.89), raising 15 per cent of the agreed price of £828 million.
UN RoRo is Turkey’s largest operator of ro-ro freight ships, and the acquisition will massively expand its operations in the Mediterranean.
The deal by the company that has its major UK operations headquartered in Immingham, will see it become a leading player in the strong and continuously growing trade between the EU and Turkey, subject to regulatory approval.
UN Ro-Ro operates five routes connecting Italy and France with Turkey, 12 ships and port terminals in Trieste and in Pendik, Istanbul, employing 500 people. In co-operation with rail operators, it also offers intermodal transport between key EU markets and the ports. DFDS currently operates a single route between France and Tunisia.
Yesterday's meeting was attended by 60 shareholders, as well as main shareholder Lauritzen Foundation. It equates to 5 per cent of the issued share capital.
Torben Carlsen, chief financial officer, told how the shares were sold to "a diverse group of Danish and International investors", adding: "The demand for shares significantly exceeded the number of available shares."
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