Stolt-Nielsen to sell offshore arm
Norwegian shipping conglomerate Stolt-Nielsen S.A. said Friday it plans to sell its entire 41.7-percent stake in Stolt Offshore S.A., a contractor to the international offshore oil and gas industry.
Stolt-Nielsen owns 79.4 million common shares in Stolt Offshore, which is listed on the Nasdaq exchange and Oslo Stock Exchange. Its shareholding in Stolt Offshore is worth about $474 million at current stock prices.
Stolt-Nielsen will use up to 70 percent of the net cash proceeds of the sale to pay back debts. The balance will be used for general corporate purposes.
“The sale of our interest in Stolt Offshore S.A. will further de-leverage Stolt-Nielsen S.A.’s balance sheet and will place the company in a strong position to grow within its transportation business, aquaculture and in other investment opportunities,” said Niels G. Stolt-Nielsen, chief executive officer of Stolt-Nielsen.
The offer and sale of the Stolt Offshore shares will not be registered under the U.S. Securities Act of 1933.