Fred. Olsen Windcarrier Shelves IPO, Cites Geopolitical Tensions

Fred. Olsen Windcarrier ASA has decided to postpone the planned initial public offering (IPO) of shares and the listing on the Oslo Stock Exchange.

Fred. Olsen Windcarrier owns and operates three transport and installation jack-up vessels – Bold TernBrave Tern, and Blue Tern. It is wholly owned by Fred. Olsen Ocean Ltd., which is a subsidiary of Bonheur ASA.

The Norwegian company announced plans to launch the IPO and list on the Oslo Stock Exchange at the beginning of February.

The pre-money equity value of the company has been estimated to be between NOK 2.5 billion and NOK 2.75 billion (approximately between EUR 250 million and EUR 275 million).

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Fred. Olsen Windcarrier had planned to use the proceeds from the IPO, expected to reach around EUR 150 million, to fully finance the equity portion for a fourth, newbuilding jack-up the company plans to order, and for general corporate purposes.

However, Fred. Olsen Windcarrier has now decided to put the process on hold due to the market conditions for IPOs being ”severely impacted, not at least by geopolitical tensions,” during the book building.

”FOWIC has now resolved to place the process on hold, and will consider resuming an IPO process given i.a. improved conditions,” the company said in a statement.

”FOWIC remains fully financed for its fleet upgrading program enabling its three vessels to efficiently install the next generation wind turbines, has a strong revenue backlog of € 355 million now, and will continue to pursue its long term strategies with a view to reinforce its position in a growing market.”

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Photo: Illustration; Blue Tern at Moray East Offshore Wind Farm; Photo: Fred. Olsen Windcarrier