Odfjell Offshore Raising up to $500M to Develop Fleet
Norway’s Odfjell Offshore plans to raise up to $500 million in a private equity placing to develop further its fleet of six state-of-the-art ultra deepwater and harsh environment offshore drilling units. In addition, Odfjell Offshore may over-allot up to 10 percent of additional new shares, the firm announced Monday.
Parent company Odfjell Drilling will remain a majority shareholding in Odfjell Offshore after the private placing and will continue to provide its 40 years of operational experience, as well as its 3,000 highly skilled employees in the Odfjell Drilling organization, it said in a statement.
“Odfjell Offshore’s strategy is to expand our drilling operations in the ultra deep water and harsh environment market,” said Odfjerll Offshore Chairman Simen Lieungh. “Our fleet is uniquely positioned and we have a strong backlog. Currently, we have one newbuild ultra deep water semi under construction. In addition we have secured an option to build two similar units at Daewoo Shipbuilding & Marine Engineering in South Korea.”
Odfjell Offshore has retained DNB Markets, Pareto Securities, RS Platou Markets and Swedbank First Securities as joint lead managers and bookrunners, while Danske Markets and Nordea Markets as Co-Lead Managers to advise on and effect the private placement of new shares directed towards investors in Norway and other jurisdictions subject to applicable exemptions from registration and other requirements under applicable securities laws.
The offer price per share will be determined through a book-building process within an indicative price range of between $7 and $8 per share. The bookbuilding period commences Mar.12 2012 and will close Mar. 23 2012. Odfjell Offshore may, however, at any time resolve to shorten or extend the application period at its own discretion, it said.
Odfjell Offshore owns a fleet of highly capable and modern semisubmersible drilling units and UDW drillships currently under contracts in Norway, UK, Brazil, Angola and Tanzania:
- ‐ Deepsea Atlantic (DW semisub) and Deepsea Stavanger (DW semisub).
- – Two state-of-the-art ultra deepwater and harsh environment semi-submersible drilling units delivered in 2009 and 2010.
- ‐ Deepsea Aberdeen.
- – Ultra deepwater and harsh environment semi-submersible drilling rig currently under construction at Daweoo Shipyard in South Korea with expected delivery in May 2014.
- – Options for two similar units with scheduled delivery in December 2014 and March 2015.
- ‐ Deepsea Metro I (DW drillship) and Deepsea Metro II (DW drillship).
- – Two ultra deepwater drillships delivered in 2011
- ‐ Deepsea Bergen .
- – Enhanced 3rd generation North Sea semisubmersible drilling rig designed and built by Odfjell in 1983 (with subsequent substantial upgrades).
Odfjell Offshore has decided to apply for listing on Oslo Stock Exchange following completion of the private placing and targets listing in end May 2012.
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Posted on March 12, 2012, in Drilling, Europe, Norway, Oil & Gas - offshore and tagged Daewoo Shipbuilding & Marine Engineering, Deepsea, Deepsea Metro I, Deepsea Metro II, North Sea, Norway, Odfjell Drilling, Odfjerll Offshore, Offshore drilling, Oslo Stock Exchange, South Korea. Bookmark the permalink. Comments Off on Odfjell Offshore Raising up to $500M to Develop Fleet.