Euronav proposes Fredriksen-Saverys supervisory board

The makeup of Euronav’s supervisory board has become a central issue in the ongoing merger saga between Euronav and Frontline. In short, Euronav wants the merger to go ahead, Frontline does not want the merger to go ahead anymore, and major Euronav shareholder CMB has never wanted the merger to go ahead.

A merger agreement between Frontline and Euronav was signed last year, but Frontline unilaterally terminated the agreement in January 2023.

Euronav’s management are seeking legal remedy to prevent the termination of the agreement, and so CMB have called a Euronav shareholders meeting to try and remove the current Euronav supervisory board and install its own members, including CMB-affiliated members.

The proposed board changes at the CMB-convened meeting will be considered alongside board nominees put forward by Frontline-affiliated Famatown Finance Ltd, which also owns a 25% stake in Euronav.

In a bid to keep its major shareholders happy, Euronav has proposed that the supervisory board be made up of “two newly appointed non-independent members nominated by CMB NV… two newly appointed non-independent members to be nominated by Famatown.”

Euronav is backing Marc Saverys and Patrick De Brabandere as the CMB board members, and John Fredriksen and Cato H. Stonex for Famatown. The Famatown nominations will depend on the company formalising its proposal before the March 23 shareholder meeting.

Related:Arbitrator dismisses Euronav’s bid to halt Frontline merger termination

Euronav recommended that shareholders vote against the removal of the five existing independent supervisory board members. CMB refused to withdraw its proposal to remove the existing supervisory board.