Hafnia acquires 14.45% stake in TORM for $311m

Hafnia Limited announced a binding share purchase agreement with Oaktree Capital Management, L.P. to acquire approximately 14.1 million A shares in TORM plc, representing 14.45% of TORM's issued share capital. The acquisition is priced at $22 per share, totaling $311,433,342. This significant investment aligns with market speculation regarding a possible business combination between Hafnia and TORM, with Hafnia expressing openness to exploring such strategic opportunities.

Completion of the acquisition is contingent upon customary conditions, including regulatory clearances, satisfaction of covenants, and the appointment of a new independent board chair for TORM. Hafnia, a leading tanker owner and part of the BW Group, operates around 200 vessels.

Hafnia notes TORM's prior announcement that the UK City Code on Takeovers and Mergers does not apply to TORM. While discussions about a potential business combination have yet to commence, Hafnia reiterates there is no assurance such discussions will lead to a transaction. The company also clarified that this announcement is not a public takeover offer under Danish law.