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Dorian LPG founding shareholder Seacor backs BW LPG takeover offerDorian LPG founding shareholder Seacor backs BW LPG takeover offer

Dorian LPG founding shareholder Seacor has backed a takeover offer by BW LPG.

Marcus Hand, Editor

July 16, 2018

1 Min Read
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Following an increased offer by BW LPG last week of 2.12 shares for each Dorian LPG share in an all stock takeover offer, Seacor has backed the offer in an open letter from Seacor chairman Charles Fabrikant.

Read more: BW LPG increases takeover offer for Dorian LPG

Seacor remains one of Dorian LPG’s five largest shareholders with a stake of just under 10%, and was one of the two original founders of Dorian LPG.

Fabrikant said he felt it was appropriate to speak up as Dorian LPG had noted no large shareholder had express a view on the offer by BW LPG. He said he supported the combination of the two companies and that this harked back to one of the original reasons they invested in the LPG sector – a belief that niche markets can be consolidated and this consolidation can be beneficial to participants.

A debate about the net asset value (NAV) of the company was described as being notional asset value if the market was not liquid with activity.

“Dorian’s board has done part of its job. It has achieved an improvement in the exchange ratio proposed by BW LPG. It should now think more expansively,” Fabrikant said.

“Dorian and BW are publically listed businesses, not merely a fleet of ships. A public entity reaping the benefits of consolidated operations and bigger capitalisation will be a more relevant platform than either Dorian or BW would be on a standalone basis.”

Dorian LPG’s board of directors rejected the original offer by BW LPG as undervaluing the company without putting it to shareholders.

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About the Author

Marcus Hand

Editor

Marcus Hand is the editor of Seatrade Maritime News and a dedicated maritime journalist with over two decades of experience covering the shipping industry in Asia.

Marcus is also an experienced industry commentator and has chaired many conferences and round tables. Before joining Seatrade at the beginning of 2010, Marcus worked for the shipping industry journal Lloyd's List for a decade and before that the Singapore Business Times covering shipping and aviation.

In November 2022, Marcus was announced as a member of the Board of Advisors to the Singapore Journal of Maritime Talent and Technology (SJMTT) to help bring together thought leadership around the key areas of talent and technology.

Marcus is the founder of the Seatrade Maritime Podcast that delivers commentary, opinions and conversations on shipping's most important topics.

Conferences & Webinars

Marcus Hand regularly moderates at international maritime events. Below you’ll find a list of selected past conferences and webinars.

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