More to Come?

Last Friday, BW Gas conceded. Following a tepid response by the minority shareholders to the rights offering, the Sohmen family plans to take BW Gas private through its investment vehicle, World Nordic, which has recently increased its stake to 94.7%. Additionally, it is giving the minority shareholders, although not obligated to do so under Bermudan law, an exit opportunity by making an offer for the remaining shares.

Although the market for gas carriers has not been kind, the write-off of the bulk of its equity as a consequence of the change in Norwegian tax law was certainly a contributing factor. If the Norwegian court rules in its favor, as it likely should, this will be a classic example of winning the battle, while losing the war

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