NOL in exclusive talks with CMA CGM over potential takeover
NEPTUNE Orient Lines (NOL) on Saturday announced that it has entered into an exclusivity agreement with France's CMA CGM for a potential acquisition of NOL by way of a pre-conditional voluntary general offer.
CMA CGM - the world's third-biggest container shipper by capacity - will have exclusivity until 11.59pm Singapore time on Dec 7, 2015.
Until then, CMA CGM will have to "complete customary confirmatory due diligence on NOL and its subsidiaries and negotiate the definitive agreements to be entered into in relation to the offer", said NOL in a Singapore Exchange (SGX) announcement.
The sale of NOL will be subject to approval by Temasek Holdings, which according to Temasek's annual report, owned 65 per cent of the liner company as at March 2015. NOL's single largest shareholder, Lentor Investments, is a wholly-owned subsidiary of Temasek Holdings.
"There is no assurance that such negotiation will result in any definitive agreement or transaction or that any offer for NOL will be made. NOL will make an appropriate announcement in the event that there are any material developments," added NOL.
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Companies & Markets
Porsche posts Q1 profit drop on ramp-up costs
IBM plots US$730 million expansion of Canadian semiconductor site
Seatrium unit to fully redeem S$500 million worth of floating-rate bonds early
Yeo Guat Kwang, John Chen retiring from corporate boards
US: Wall St opens higher
Air China orders homegrown C919s in challenge to jet duopoly