Norwegian allocates rights issue

Lauren Eldershaw
By Lauren Eldershaw March 12, 2019 15:12

Norwegian allocates rights issue

Norwegian Air Shuttle (Norwegian) has completed its rights issuance, raising $350 million from the sale of 90,871,318 offer shares for NOK 33.00 each. The shares were allocated yesterday (March 11), with no allocation of shares without subscription rights.

Following allocation, HBK Holding will own 23,200,578 shares in company, representing 17.0% of shares. HBK Holding as, 84.6% owned by Bjørn Kjos, Norwegian’s chief executive officer (through NYE Observatoriet Invest AS), and 9.1% owned by Bjørn Halvor Kise, chairman of the board (through NYE Brumm AS). Kjos and his close associates will own 25,274,061 shares in company, representing 18.5% of shares.

The shares first day of trading on the Oslo Stock Exchange will be on or about 18 March 2019.

DNB Markets, Danske Bank and Sterna Finance are the underwriters. Norwegian reported that the demand had exceeded its sale by 110 percent as the deep discount on offer attracted investors, according to a report from Reuters.

“With a stronger financial position and lower cost going forward, we are well positioned to continue to attract new customers, not least in the long-haul market,” Chief Executive Kjos said in a statement.

Lauren Eldershaw
By Lauren Eldershaw March 12, 2019 15:12