OW Bunker, Management, Altor Sued for $120 Million Over Bunker Supplier's Collapse

by Ship & Bunker News Team
Friday June 26, 2015

A group of 27 Danish investors have sued OW Bunker for DKK800 million ($120 million), saying the now defunct bunker supplier was misrepresented in its initial public offering (IPO) prospectus, Reuters reports.

The group includes ATP and PFA, two of Denmark's largest pension funds.

The move follows action in January when the group including ATP and 24 others filed damages claims against OW Bunker and its private equity backers Altor totalling DKK803 million ($129 million),

At the time ATP's Head of Equities, Claus Wiinblad, said it was important to emphasise it had not made a final decision on whether to bring the claims and that it was "purely a procedural thing to be sure that we are not going to be in the position that the insurance is outdated."

It is understood the action involves two separate lawsuits.

The first is against OW Bunker, its management, and previous owner Altor Funds who last year listed OW bunker, and concerns alledged failures over the IPO prospectus.

The second lawsuit is against OW Bunker and alleges a failure to act in accordance with stock exchange rules in disclosing information in a timely manner.

OW Bunker went bankrupt last November less than eight months after an otherwise successful $1 billion IPO on the Nasdaq OMX Copenhagen exchange.

Earlier this month, Morten Schwartz Nielsen, president of the association OW Bunker Investor that says it represents 3,500 former shareholders, said it was also preparing legal action.

Ship & Bunker News Team
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