Norwegian DHT has rejected an offer of fusion proposed from the Frontline compatriot



Norwegian DHT Holdings has rejected to a proposal of fusion introduced from the shipowning company Frontline compatriot with the scope to arrange the fleets of oil tankers of the two companies, that they have both registered office in the Bermudas. The proposal of the Frontline previews that this acquires the entire capital stock of the DHT through the allocation to the shareholders of this last one of 0,725 sets in action of the Frontline for everyone of the shares of the DHT in they possession.

The board of directors of the DHT Holdings has rejected the fusion proposal. "Our Board - the managing directors of the company, Trygve P. Munthe have explained and Svein Moxnes Harfjeld - has established unanimously that the offer of exchange of an action DHT for 0,752 sets in action of Frontline (equivalent to a present value of about five dollars per.share DHT) is completely insufficient and underrates our society remarkablly and underrates those which would be the fundamental ones of the contribution of DHT to an eventual fusion".

"Moreover, and what more important - they have continued Munthe and Moxnes Harfjeld - Frontline has proposed to pay in actions of Frontline the whose value remarkablly is swollen and meaningfully advanced one to us to the value of the fleet". "This - they have emphasized - is absolutely unacceptable". The two Raw managing directors have evidenced that the fleet of Very Large Carrier of the DHT has a medium age of about six years, while the medium age of the fleet of VLCC of the Frontline has a medium age almost 11 years.

Currently the fleet of the DHT, that it is of entire property of the company, is composed from 19 VLCC and two Aframax; moreover DHT under construction has others two VLCC that will be taken in delivery the next year. The fleet of the Frontline is composed of 54 tankers, of which 22 VLCC, 15 Suezmax, three Aframax, 13 LR2 and a MR.

Learned the DHT decision to reject the proposal, decision that is made official today by the board of directors, the managing director of Frontline, Rotert Hvide Macleod, has replied that its company is convinced "that our offer to the DHT shareholders is absolutely interesting as offers a meaningful anticipated prize and moreover the opportunity to draw full load offers to all the shareholders benefit from the meaningful synergies and the interest that would be created with the fusion".