Navig8 is building up a sizeable stake in Awilco LNG with speculation growing in Oslo that the tanker giant is readying a takeover bid.
Subsidiary Navig8 Topco Holdings came in for another 7.6m Awilco shares yesterday, having bought 10m shares on Wednesday.
Navig8 has now crossed the 15% shareholding, Awilco LNG revealed today. Navig8 controls 19.63% of Awilco’s total outstanding shares as of the opening of trading at the Oslo Bors this morning.
“We will not speculate what the goal is, but priced at a large discount to steel, Awilco is an obvious M&A candidate,” Cleaves Securities said in a report yesterday.
The Awilco LNG fleet stands at just two 2013-built gas carriers, sisterships WilForce and WilPride.
Singapore-headquartered Navig8 operates one of the world’s largest and most diverse tanker fleets, involved in crude, chemicals, products and bunkers, but to date has yet to enter the gas markets.