World’s Shippers Are Earning The Most Money Since 2008
By Alex Longley (Bloomberg) The global shipping industry is getting its biggest payday since 2008 as the combination of booming demand for goods and a global supply chain that’s collapsing...
Shares of Overseas Shipholding ($OSG) fell over 20 percent to just $2.13 in early morning trading after Saltchuk Holdings ended discussions on a potential offer to buy the company.
Overseas Shipholding Group, is a public company focused on the tanker market, primarily in the U.S. Jones Act trade. In July of this year, the company announced they received an indication of interest from Saltchuk to acquire all of the issued and outstanding shares of common stock of the Company for a price of $3.00 per share.
“In light of continued uncertainty with respect to the pace and trajectory of the global pandemic recovery and its effects on the Issuer’s business and operations,” said Saltchuk Holdings in a Securities And Exchange Commission 13D filing published today. “We are suspending discussions with the Issuer regarding a possible acquisition of its outstanding common stock.”
Saltchuk is a privately owned family of diversified transportation and distribution companies headquartered in Seattle. The name Saltchuk is not widely known but the shipping and logistics companies they control are including Foss, Tote, Northern Aviation Services, Saltchuk Logistics, Tropical Shipping, and NorthStar Energy.
According to the filling Saltchuk still owns 15,203,554 shares of OSG, or 17.4 percent of the company.
Overseas Shipholding Group is the operator of a fleet of twenty-five oil tankers and oil tug-barges. It is based in Tampa, Florida, United States, and was founded in 1948. OSG was once a much larger company but in 2016, as part of a large restructuring plan, it spun off its large international fleet and business, into a new company, International Seaways (INSW).
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