US private company Kohlberg Kravis Roberts (KKR) has opened its NOK 7.2bn ($829.5m) takeover of Norway's Ocean Yield after most bondholders approved the deal.
Holders of three issues were asked to vote that the acquisition would not constitute a change of control event for the bond terms.
Ocean Yield won approval from holders of two issues worth NOK 1.5bn, but did not get enough votes from the bondholders in the $125m perpetual tranche.
The terms for these bonds will remain unchanged and the takeover is not conditional on a "yes" vote.
As a result, Ocean Yield retains options to buy back the bonds at 101% of their value within 60 days and at par after that, following the change of control, according to Norwegian investment bank Fearnley Securities.
The shipowner had been offering a $940,000 sweetener to bondholders to clear the change of control. This was in the form of a fee of 0.5% of the principal on the debt.
KKR has said it wants to take Ocean Yield private.
The offer period for the stock began on 6 October and ends on 5 November.
The shares have traded flat at NOK 41 in line with the offer price since the announcement in September.
Octopus grabs Ocean Yield
A KKR unit called Octopus Bidco reached a deal with major Ocean Yield shareholder Kjell Inge Rokke to buy the company.
A source familiar with KKR told TradeWinds that the group became involved as a result of a strategic review by Rokke's Aker group of its ownership interest in Ocean Yield.
Aker, the largest shareholder through subsidiary Aker Capital, owns 61.65% of Ocean Yield.
The board and the Oslo Stock Exchange brought in Danske Bank to provide an independent expert statement, Ocean Yield said on Wednesday.
The conclusion was that the price represents a fair offer, the company added.
Ocean Yield has a fleet including tankers, bulkers and containerships, with charterparties such as Navig8, Scorpio Tankers and Okeanis Eco Tankers, as well as a small stake in offshore vessel owner Solstad Offshore.
VesselsValue rates its 52 ships as worth $2.15bn.
