Euronav’s supervisory board is seeking dialogue with warring shareholders John Fredriksen and the Saverys family as arbitration and a bid to remove directors continue.
The Belgian tanker giant said in its fourth-quarter report that chairman Grace Reksten Skaugen and colleagues have “reached out pro-actively” to Fredriksen’s Famatown Finance after it built its stake further following the failed merger with the tycoon’s Frontline.
The board has also sought to open discussions with the Saverys clan over an attempt to oust its members as part of disagreements over Euronav’s future strategy.
The aim is to understand the rival groups’ intentions, Euronav said.
Euronav wants to maintain a constructive dialogue, the company added.
Saverys-owned shipping company CMB wants to replace the entire independent board with its own candidates, which Euronav called “an unprecedented request by a minority shareholder”.
The shipowner believes this could have a significant impact on the company, its business and all shareholders and stakeholders.
The supervisory board has been studying the request and will issue a recommendation, although management is opposed.
"We believe that governance tailored to all of Euronav’s shareholders and stakeholders, supportive of Euronav’s strategy, should remain Euronav’s goal, which would require retaining a proportional independence and a high degree of continuity of our board to ensure value protection for all shareholders," Euronav said.
“An immediate and abrupt replacement of the entire board, without any transitioning or succession planning, is not in line with those principles and Belgian corporate governance standards,” the company added.
Arbitration decision in five days
Euronav has filed two arbitration applications regarding Frontline’s unilateral decision to pull out of the merger after opposition from the Saverys.
The first is an emergency bid to halt Frontline’s exit. A decision is due on 7 February.
The second will examine the merits of the decision to tear up the combination agreement from last July.
“We would prefer to continue to seek a constructive discussion with all our shareholders including CMB as we intend to work to a solution which is in the interests of all of our shareholders,” the tanker owner said.
Both Fredriksen and CMB have stakes of 25% that are enough to block full legal merger moves by the other party.
