Securities sold in backstopped equity offering, private placement
By Devika Patel
Knoxville, Tenn., March 19 - DHT Holdings, Inc. said it plans a $72.5 million backstopped equity offering of preferred stock and common stock and a $7.5 million private placement of preferreds. The equity offering is backstopped by Anchorage Capital Group, LLC.
The company will sell 258,929 preferreds and 51,785,800 common shares in the backstopped equity offering.
The securities will be sold in round lots consisting of 200 common shares and one preferred. Each round lot will be priced at $280, representing a purchase price of $0.70 per common share and $140 per preferred. The price per common share is a 44% discount to the March 16 closing share price of $1.25.
Each preferred will automatically be exchanged for 200 common shares.
Investors will need to own at least 250 DHT common shares to participate in the offering.
Settlement is expected April 27.
The company will sell 53,571 preferreds to Anchorage in the placement.
Proceeds will be used to prepay debt under DHT's credit facilities and to pursue vessel acquisition opportunities and growth.
"This is a significant and important transaction for DHT. The equity offering and private placement will generate $80 million of proceeds, which we will use to prepay debt, creating a clear runway for DHT over the next few years, and also invest in growth opportunities," the company's chief executive officer Svein Moxnes Harfjeld and its president Trygve P. Munthe jointly said in a press release.
Based in Jersey, Channel Islands, DHT operates a fleet of double-hull tankers.
| Issuer: | DHT Holdings, Inc.
|
| Issue: | Round lots of 200 common shares and one preferred, preferred stock
|
| Amount: | $80 million
|
| Warrants: | No
|
| Pricing date: | March 19
|
| Settlement date: | April 27
|
| Stock symbol: | NYSE: DHT
|
| Stock price: | $1.25 at close March 16
|
| Market capitalization: | $95.39 million
|
|
|
| Backstopped equity offering
|
| Issue: | Round lots of 200 common shares and one preferred
|
| Amount: | $72.5 million
|
| Price: | $280
|
|
|
| Preferreds
|
| Shares: | 258,929
|
|
|
| Common stock
|
| Shares: | 51,785,800
|
|
|
| Private placement
|
| Issue: | Preferred stock
|
| Amount: | $7.5 million
|
| Preferreds: | 53,571
|
| Investor: | Anchorage Capital Group, LLC
|
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