FRO - Possible private placement of up to 3 million new shares in Frontline Ltd.
Published: 16:50 25.06.2008 GMT+2 /HUGIN /Source: Frontline Ltd /OSE: FRO /ISIN: BMG3682E1277
Frontline Ltd. intends to complete a private placement of 2.3 million new shares with an option to over-allocate up to a total of 3 million new shares. The Company will approach professional investors to test the market's interest following the close of the Oslo Stock Exchange today.
Frontline Ltd.'s largest shareholder, Hemen Holding Ltd., has guaranteed the subscription of 2.3 million shares.
The net proceeds from the private placement will, if successful, be used to finance the acquisition of the 5 double hull suezmax tankers which was announced this morning and in settlement of the delivery of shares in Overseas Shipholding Group Inc. currently controlled through forward contracts.
The shares in the placement will not be registered under the U.S. Securities Act of 1933 and will not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of that Act.
This press release does not constitute an offer to subscribe for the shares in the United States.
For further enquiries:
Inger M. Klemp: Chief Financial Officer, Frontline Management AS, +47 23 11 40 76
Frontline Ltd.
Hamiiton, Bermuda
June 25, 2008
