Fjord Line will be on a stock exchange

KRISTIANSAND: New ferries are being built at Bergen Group Fosen, they will be ready in 2012 and cost 206 million euros (about 1.6 billion kroner at current exchange rate). A portion of the funding of them are therefore an extension of the share capital.

According to a press release from the company, the new shares subscribed by the main shareholders are brothers Frode and Ole Ketil Teigen and eleven new investors from the west coast. The brothers Teigen invested 192.5 million, while the other investors are entering with 107.5 million. In addition, the over 3000 small shareholders took the opportunity to subscribe for new shares.

“The response to our invitation to participate in capital expansion in Fjord Line confirms that many share our faith in Fjord Line’s opportunities in the cruise ferry market between Norway and the EU, “said chairman Peter Frølich in the press release.

Fjord Line had an equity of 209 million by the end of 2009. This year, they had also incurred a loss of 14.5 million. But the company believes they will go positive this year.

“Everything is possible for operation in both 2010 and 2011 will provide a surplus, so there will be a basis for Fjord Line’s going to be an attractive stock” says Frølich.

According to the Financial Times the company will be on a stock exchange within 12 months.

“In the long run it is our goal to take the company public in order to strengthen the liquidity of the stock and for expanding access to capital for future investments” said chairman Peter Frølich.

The new ferries will go from Bergen – Stavanger – Hirtsahals – Kristiansand. With daily departures from Kristiansand.

Source: FVN.no