Shipping company BW Group announced today it has acquired a majority stake in LPG shipowner Epic Gas and has launched an unconditional offer to acquire the remaining shares of the company.
Epic Gas is the largest commercial operator and second largest owner of small pressurized LPG carriers. It has a fleet of 39 vessels ranging from 3,500 to 11,000 cbm that typically serves the short-haul or regional LPG and chemicals trade.
BW Group acquired 38,548,329 shares of Epic Gas from key shareholders equating to 54.7% of the company. It is also offering to remaining shareholders $1.60 per share plus additional considerations that could tack on another $.10 to the offer. Epic Gas shareholders have until 12 April 2019 to accept the offer.
BW Group says it intends, based on the outcome of the offer, for Epic Gas to maintain its listing on the Merkur Market and welcomes shareholders who would like to continue to hold shares in the company.
The deal marks BW Group’s entry into the pressurized LPG shipping market.
“BW Group is pleased to acquire this shareholding in Epic Gas with its strong operational platform and quality fleet,” says Andreas Sohmen-Pao, Chairman of BW Group. “The transaction represents an opportunity to acquire a well-managed company, led by Charles Maltby, and we look forward to working together to achieve successful growth in the service of our customers.”