SINGAPORE - Keppel Corp said on Friday (Feb 14) that its associate company Floatel International and Oslo-listed Prosafe have dropped their bid to merge in a combination that would have created the world's largest offshore accommodation provider.<\/p>\n
The decision comes after Norway competition authorities blocked the proposed merger in October 2019. Keppel had said then said that Floatel and Prosafe were assessing whether to appeal the decision.<\/p>\n
In a regulatory update on Thursday (Feb 13), Keppel said Floatel and Prosafe \"were of the view that any near-term completion of a value-enhancing merger was unlikely\".<\/p>\n
The merger would have combined Prosafe's existing nine semi-submersible vessels, and options for two newbuild semi-submersible vessels with Floatel's five semi-submersible vessels, Prosafe said in an announcement at the time.<\/p>\n
Keppel said the discontinuation of the proposed deal is not expected to have a material impact on its net tangible assets or earnings per share for the current financial year.<\/p>\n
Keppel Offshore & Marine, a unit of the Keppel Corp, owns a 49.92 per cent stake in Floatel via its wholly-owned subsidiary Fels Offshore.<\/p>\n
Fels Offshore's resultant shareholding in the post-merger Prosafe would have been about 22 per cent.<\/p>\n
Keppel shares were trading up one cent or 0.15 per cent at $6.74 at 10:30am on Friday.<\/p>\n
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Keppel associate drops merger bid to create offshore housing giant - The Straits Times<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" SINGAPORE - Keppel Corp said on Friday (Feb 14) that its associate company Floatel International and Oslo-listed Prosafe have dropped their bid to merge in a combination that would have created the world's largest offshore accommodation provider. The decision comes after Norway competition authorities blocked the proposed merger in October 2019 Continue reading