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DHT Holdings rejects bid from Frontline

Published by , Senior Editor
Tanks and Terminals,


The Board of Directors of DHT Holdings Inc. has unanimously rejected a recent proposal from Frontline Ltd to acquire all of the outstanding shares of common stock of DHT at a ratio of 0.8 Frontline shares for each DHT share.

In a letter to Robert Hvide Macleod, Principal Executive Officer of Frontline, the Board of DHT Holdings said that the bid “significantly undervalued the contribution that DHT's business would make to a combined company.”

The Board also referenced the fact that the most recent bid – lodged on 25 April 2017 – is the same as an original proposal put forward at the end of February 2017. The letter read: “Charter rates, asset values and other conditions are changing constantly in our industry, and DHT's fleet has evolved significantly since your February proposal.”

The letter continued: “The bottom line is that Frontline's proposed takeover of DHT is so woefully inadequate that we do not believe further engagement will result in a fair offer for the DHT franchise.”

Read the article online at: https://www.tanksterminals.com/storage-tanks/09052017/dht-holdings-rejects-bid-from-frontline/

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