Norwegian offshore wind turbine installation company Fred Olsen Windcarrier (FOWIC) has decided to postpone its initial public offering (IPO) of new shares and application for a listing on the Oslo Stock Exchange, citing current geopolitical tensions.
“During the book building, the market conditions for IPOs have been severely impacted, not at least by geopolitical tensions. FOWIC has now resolved to place the process on hold, and will consider resuming the IPO process given inter alia improved conditions,” the company said in an Oslo exchange filing.
The IPO was expected to raise gross proceeds of approximately €150m ($169.5m), which would be used to fully finance the equity portion of the newbuilding the company aims to order and for general corporate purposes. FOWIC is wholly owned by Fred Olsen Ocean, a subsidiary of the Olsen family’s investment firm Bonheur, which pre-committed to subscribe for €25m in the IPO.
The company added that it remains fully financed for its fleet upgrading program, enabling its three vessels to install the next-generation wind turbines and that it currently has a revenue backlog of €355m.
