Statement from the Board of Directors of Petrojarl ASA in relation to the mandatory offer from TPO Investments AS
On the 18th of September 2006, TPO Investments AS, a wholly owned subsidiary of Teekay Shipping Corporation ("Teekay") announced that following the acquisition of more than 40% of the issued share capital of Petrojarl ASA ("Petrojarl" or the 'Company') it was making a mandatory cash offer for the remaining shares of Petrojarl at NOK 70 per share. This compares to a maximum cash price that has been paid for the shares already owned by Teekay of NOK 68.
The Board notes that the offer price represents a premium of 64% compared to the closing price of the Petrojarl share on the 18th of August 2006 (the day prior to Prosafe ASA announcing its acquisition of 29,57% of the shares in Petrojarl). The offer also represents a premium of 75% and 72% to the volume weighted average price on the Oslo Stock Exchange during the previous one month period, and during the period from the date of listing of the Petrojarl share on the 30th of June, until the 18th of August, respectively.
The Board further notes that Teekay intends to actively pursue opportunities in the rapidly growing global market for Mobile Production Solutions and they will continue to focus their development of new FPSO projects worldwide through Petrojarl. The Board is also pleased to note that Teekay, as an existing employer with significant operations located in Norway since 1999, recognizes that Petrojarl's engineering and operational support competence is based in Trondheim and intends to further develop this skill base in Trondheim.
The Board and Management of Petrojarl consider Teekay, as a leading global shipping company, would be a very positive owner of Petrojarl, one who shares Petrojarl's ambitions, and who would actively support the Company's future developments. The strong combination of Teekay and Petrojarl through their existing joint venture and excellent working relationships, has already demonstrated the two companies have the high quality reputation, complimentary resources and expertise to competitively pursue FPSO opportunities anywhere in the world.
In view of the above, the Board has concluded that the offer from Teekay represents an attractive proposal for Petrojarl and Petrojarl's shareholders from a financial, strategic and employee point of view. The Board has been assisted by ABG Sundal Collier Norge ASA in its assessment of the offer.
The Board therefore recommends to the Company's shareholders to accept the offer from Teekay.
The Board members Keith Nicholas Henry, Joey Shaista Horn and Rolf Erik Rolfsen, and Petrojarl's President and CEO Espen Klitzing, hold shares in Petrojarl and intend to accept the offer with respect to all such shares subject to release of lock-up provisions established as part of the IPO of Petrojarl.
Trondheim, 18th of September, 2006 The Board of Directors of Petrojarl ASA
This Statement has been issued by the Board of Directors of Petrojarl in respect of the mandatory offer as required under Section 4-16 of the Securities Trading Act.
**** The information included herein contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements are based on various assumptions made by the Company which are beyond its control and are subject to certain additional risks and uncertainties. As a result of these factors, actual events may differ materially from those indicated in or implied by such forward-looking statements. Petrojarl ASA is one of the largest operators of floating production storage and offloading vessels in the North Sea. Petrojarl owns and operates four FPSO vessels in addition to operating two shuttle tankers and one storage tanker. Petrojarl is currently evaluating projects outside of the North Sea and has ambitions to double its fleet within 2010. Petrojarl's revenues for the year ended 31 December 2005 amounted to USD 280.7 million. The company employs approximately 524 people. The headquarters are located in Trondheim. Petrojarl also has an operations office in Aberdeen. For more information about Petrojarl visit www.petrojarl.com.
FOR DETAILS, CONTACT:
Espen Klitzing Chief Executive Officer Phone: +47 928 26 166
Hege Njå Bjørkmann Communications Manager Phone: +47 911 85 029
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Afmælisverðið er aðeins 2.500 krónur.
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