Shareholders of U.S.-based crude oil shipping company Gener8 Maritime are scheduled to hold a special meeting on June 11, 2018, when they will vote on the merger with Belgian tanker company Euronav.
The merger plans were revealed in December 2017 and, if cleared by regulators, will see the creation of an independent large crude tanker operator with 75-strong crude tanker fleet.
Under the planned stock-for-stock merger, Euronav plans to acquire the entire issued and outstanding share capital of Gener8, which would become a wholly-owned subsidiary of Euronav.
Once completed, Euronav shareholders would own around 72 pct and Gener8 shareholders would own 28 pct of the issued share capital of the combined company.
However, the agreement is subject to the approval of Gener8’s shareholders and some of its lenders.
Euronav said earlier that everything was on track for the transaction to conclude in the second quarter of 2018.
The consolidation move comes at a difficult time for tanker owners arising mainly from overcapacity from newbuilding deliveries in VLCC and Suezmax sectors coupled with restricted crude supply.
World Maritime News Staff