Western Bulk Chartering AS offering successfully completed on Euronext

Western Bulk Chartering AS says it has successfully completed the listing on the Euronext Growth Oslo with the allocation of 4,340,000 offer shares at a price of NOK 30.00 per offer hare, resulting in a total transaction size of approx. NOK 130 million.

Hans Aasnæs, CEO Western Bulk Chartering AS, disclosed this in a statement made available to PortNews by the organisation.

According to the company, in summary, the offering comprised of a primary offering of 3,950,000 new shares (the “Primary Shares”) raising gross proceeds of NOK 118.5 million.

In addition, the Joint Global Coordinators (as defined below) have over-allocated 390,000 additional shares (the “Additional Shares” and, together with the Primary Shares, the “Offer Shares”).

Four cornerstone investors have been allocated a total of NOK 52 million in the Offering; i) Svelland Capital, (ii) KLP, (iii) Global Value Investment Corp and (iv) Oceanic Investment Management.

The Company intends to use the net proceeds from the issuance of the Primary Shares to finance growth, scale on investments made and to strengthen the balance sheet to implement fixed dividend policy as well as for general corporate purposes.

There will be in total 33,619,715 shares in Western Bulk in issue following the issuance of the Offer Shares, resulting in a post-money market capitalisation of the Company of NOK 1,008 million based on the Offer Price.

The first day of trading on Euronext Growth Oslo is expected to be on or about Monday 20 September 2021 under the trading symbol “WEST” (subject to the necessary approvals from the Oslo Stock Exchange and the registration of the Company’s shares in the Norwegian Central Securities Register, VPS).

Allocation to investors will be communicated on 8 September and the Offering is expected to be settled by the Managers on a delivery-versus-payment basis on or about 20 September.

The Company, members of the Company’s board of directors and management and Kistefos Equity Holding AS and Ojada AS have entered into customary lock-up arrangements with the Joint Global Coordinators that will restrict, subject to certain exceptions, their ability to, without the prior written consent of the Joint Global Coordinators, issue, sell or dispose of shares, as applicable, for a period of 12 months for the Company, members of the Company’s board of directors and management and 6 months for Kistefos Equity Holding AS and Ojada AS, after the commencement of trading in the shares on Euronext Growth Oslo.

The Company has granted Arctic Securities AS (the “Stabilisation Manager”), acting on behalf of the Managers, an option to subscribe for and have issued at the Offer Price a number of new shares equal to the number of Additional Shares to cover short positions resulting from any over-allotments made. This option must be exercised by the Managers no later than the 30th day following commencement of trading on Euronext Growth Oslo. The Stabilisation Manager, on behalf of the Managers, may (but will be under no obligation to) effect stabilisation activities in accordance with the EU Market Abuse Regulation with supplemental rules, in a period of 30 days from the first day of trading on Euronext Growth Oslo in order to support the market price of the shares. However, stabilisation action may not necessarily occur and may cease at any time. Any stabilisation action may begin on or after the date of commencement of trading of the shares on Euronext Growth Oslo and, if begun, may be ended at any time, but it must end no later than 30 days after that date. Stabilisation may result in a price of the shares that is higher than might otherwise prevail, and the price may reach a level that cannot be maintained on a permanent basis.

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