BW Group’s Oslo-listed floating wind company, BW Ideol, is set to be taken private by a newly formed vehicle made up of existing shareholders.
BW Sirocco Holdings is offering NOK 12 per share to remaining shareholders a substantial premium of 42.2% against Wednesday’s closing price. The bid values the company at about NOK378m ($40m).
The remaining BW Ideol shareholders are also offered to receive shares in BW Sirocco instead of receiving a cash payment.
The BW Sirocco investor group currently holds a total of 84.7% of the shares in BW Ideol. If the offer is consumed, the company will be owned by BW Offshore, Kerogen Investments No. 48, Larochette Invest and certain other existing investors and management shareholders of BW Ideol.
BW Ideol said in a stock exchange filing it will require additional financing to meet upcoming capital commitments, and that current debt financing is not satisfactory.
The investor group added that, if privately held, BW Ideol would be able to raise capital more efficiently and that the company would benefit from reduced cost, freed-up management time and reduced formal obligations.
BW Ideol was formed in 2021 after BW Offshore became a strategic owner of Ideol. The company was admitted to trading in Oslo in March 2021.
