OW Bunker IPO by April 2

by Ship & Bunker News Team
Wednesday March 19, 2014

OW Bunker plans to complete its initial public offer (IPO) on the Copenhagen Stock Exchange by April 2, raising DKK110 million ($20.5 million) from the sale of new shares and achieving a total stock market value of DKK4.4 billion ($82 million) to DKK5.5 billion ($1 billion), Reuters reports.

The firm's main shareholder, private equity firm Altor Equity Partners (Altor), could raise up to DKK3.2 billion ($600 million) in sales of its own shares of the company.

"We believe now is the right time for OW Bunker to take this important next step and invite new shareholders to take part in the continued successful development of the company," said Deputy Chairman Soren Johansen.

OW Bunker could be valued at as much as 15.8 times its 2013 earnings, compared with an average of 11.8 times for the sector, reflecting market optimism about the firm's future.

Sydbank analyst Jacob Pedersen said the company's revenue growth of 20 percent in both 2012 and 2013 suggests that it could be a good investment.

"OW has many good qualities and it may well end up being an exciting growth story over the coming years," he said.

Depending on how many shares are sold, the company expects 40 to 60 percent of its shares to be floated on the exchange.

OW Bunker said earlier this month that the IPO would provide it with a long-term platform for continuing growth.

Ship & Bunker News Team
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