CMA CGM to acquire NOL, reinforcing its position in global shipping
· Proposed cash acquisition of NOL at SGD 1.30 per NOL share, representing a 49% premium to NOL’s unaffected share price, fully financed
· Strategic acquisition resulting in combined turnover of USD 22 billion and fleet size of 563 vessels
· Complementary geographical strengths enhance the diversity of CMA CGM’s trade portfolio and consolidate its position on strategic trade routes
· CMA CGM will establish its regional head office in Singapore, which will reinforce Singapore’s leadership position in the shipping industry
· Significant operational synergies
· Transaction is unanimously approved and recommended by NOL Board
· NOL’s majority shareholders (Temasek and its affiliates) fully support the transaction and have irrevocably undertaken to tender all of their shares into the Offer
Singapore and Marseille (France), December 7, 2015 – CMA CGM, a global leader in container shipping, today announces a pre-conditional voluntary general cash offer for Neptune Orient Lines (NOL), Southeast Asia’s largest container shipping company (SGX: N03), subject to the satisfaction of the pre-conditions specified in such announcement. NOL’s majority shareholders (Temasek and its affiliates) have irrevocably undertaken to tender all of their shares in acceptance of the Offer.
Upon the satisfaction of the pre-conditions (namely, approvals from antitrust authorities), CMA CGM will launch an offer at a price of SGD 1.30 per share, which represents a 49% premium to NOL’s unaffected share price(1) and a 33% premium(1) to NOL’s 3 month volume-weighted average share price to July 16, 2015.