World News
Update: NOL Suspends Share Trading "Pending Announcement", Sources Say CMA CGM to Make $2.4B Cash Offer
UPDATE: NOL has now confirmed the $2.4 Billion cash offer from CMA CGM - CLICK TO READ
Trading of shares in Singapore-based Neptune Orient Lines (NOL) Monday were suspended as sources quoted by Bloomberg indicate France's CMA CGM S.A. (CMA CGM) is ready to make a S$3.4 billion ($2.4 billion) cash offer for Temasek Holdings (Private) Limited (Temasek)'s 67 percent stake in the box shipper.
No official statement has yet been made by either party, but an SGX filing made Monday at 7:36am local time requested the trading halt due to a "pending announcement."
UPDATE: NOL has now confirmed the $2.4 Billion cash offer from CMA CGA.
As Ship & Bunker reported earlier, CMA CGM in November entered into exclusive talks with NOL for a period that expires today, December 7, 2015.
CMA CGM plans to offer approximately S$1.30 ($0.93) per share in cash for NOL, sources said to be familiar with the matter told Bloomberg, having closed last week at S$1.23 ($0.88).
Singapore acquisition rules mean that, if completed, it would trigger a mandatory offer from CMA CGM for the remaining stake in NOL.
Ship & Bunker reported Friday that lenders including HSBC, BNP Paribas, and JPMorgan had provided "firm commitments" to fund at least the initial stake in NOL.
Key Bunker Prices More
| VLSFO | MGO | |||
|---|---|---|---|---|
| $/mt | +/- | $/mt | +/- | |
| Singapore | 548.00 | 0.50 | 677.50 | 2.00 |
| Rotterdam | 513.00 | 0.50 | 649.00 | 3.00 |
| Houston | 544.50 | 2.50 | 675.00 | 4.00 |
| Fujairah | 541.50 | 2.50 | 744.00 | 3.50 |
| Global 20 Ports Average | 572.00 | 2.50 | 758.00 | 2.50 |
| Global 4 Ports Average | 536.50 | 1.50 | 686.50 | 3.00 |
| Global Average Bunker Price | 624.00 | 2.50 | 801.00 | 3.50 |
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