Hunter Group has raised NOK 124m ($12m) in gross proceeds through a private placement of 70.9m new shares at the offer price of NOK 1.75.
The placement attracted significant investor interest, and was more than two times oversubscribed, according to a statement on Wednesday.
Hunter intends to use the net proceeds to strengthen the working capital in connection with two three-year, back-to-back charters on eco-design and scrubber fitted VLCCs, one of which was placed on subjects on 10 January at $51,000 per day.
Certain existing shareholders and new investors, including Surfside Holding, which is controlled by chairman Morten E Astrup, B O Steen Shipping and Arne Fredly’s Apollo Asset Limited, had provided indications of subscriptions covering the full deal size.
Hunter took delivery of a VLCC on 1 December, following a similar transaction. The index-linked time charter result for December 2023 was about $54,200 per day.
The rationale behind the transactions is to capitalise on the dislocation between time-charter rates, ship values and the expected strong rate environment over the next three years, the Oslo-listed company said.
DNB Markets and Fearnley Securities are acting as joint bookrunners in connection with the placement. Ro Sommernes is acting as legal advisor.
