Norwegian Tanker Shipping Merger Announced

The Norwegian shipping group Camillo Eitzen is to buy its rival Songa Shipholding for a total of $1.2b. It is said that the merger will form one of the biggest chemical transportation tanker groups in the world. The joint fleet will be 66 vessels with a further 43 on order for delivery over the next four years.

Songa is based in Singapore, but controlled by a Norwegian businessman, Arne Blystad, and it has offices in Oslo, Westport, Connecticut in the US and Glasgow in the UK. The acquisition will be financed through a combination of equity, debt, bonds, cash and assumption of debt. source: Euronews