Fredriksen’s Frontline linked with Gener8 takeover

Could dramatic consolidation be on the cards for the tanker sector? That’s the speculation in Oslo where in the wake of Frontline’s $100m private placement on Friday, analysts are now wondering if John Fredriksen will use the cash raised to buy out Peter Georgiopoulos’s Gener8 Maritime.

Analyst reports from leading banks in Oslo in recent days have mulled the likelihood of this deal becoming reality.

“Can Frontline do the same as BW LPG and go after Gener8?” wrote DNB Markets analyst Nicolay Dyvik in an update on Friday. BW LPG has recently completed the takeover of Aurora LPG.

Were the two companies to merge they would become the second largest tanker firm in the world after Cosco.

Gener8 has been busy in recent weeks pruning some of its older ships from its fleet with brokers reporting the company has sold an aframax, a suezmax and a VLCC.

Sam Chambers

Starting out with the Informa Group in 2000 in Hong Kong, Sam Chambers became editor of Maritime Asia magazine as well as East Asia Editor for the world’s oldest newspaper, Lloyd’s List. In 2005 he pursued a freelance career and wrote for a variety of titles including taking on the role of Asia Editor at Seatrade magazine and China correspondent for Supply Chain Asia. His work has also appeared in The Economist, The New York Times, The Sunday Times and The International Herald Tribune.
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