Norwegian Government positive to participate in DnB NOR rights issue
The Norwegian Government will shortly put forward a parliamentary bill to the Norwegian Parliament (Stortinget) proposing the Norwegian State should participate with a proportionate share in the upcoming ordinary rights issue in DnB NOR ASA. This will ensure that the State retains its 34 percent ownership in the company.
“The Government is positive to the Board’s proposal for a rights issue in DnB NOR,” says the Minister of Trade of Industry Sylvia Brustad.
“I regard the issue as a healthy sign both for DnB NOR and the financial market. The rights issue will strengthen the core capital ratio in the company and increase its financial robustness in a way that gives equal opportunity for all shareholders to participate,”she continues.
Through its ownership the Norwegian State wants to ensure the corporation maintains its headquarter in Norway and that DnB NOR will be a partner for Norwegian companies operating domestically as well as in the export market. This will give the Norwegian business community access to a Norwegian based financial institution with extensive know-how. For DnB NOR the increased capital base will strengthen its ability to maintain its valuable and central role towards the Norwegian business community. “As a major and long-term owner in DnB NOR, the Government is willing to participate with its proportional share in the issue,” says the Minister.
“The Government’s willingness to participate is subject to the Norwegian Parliament –Stortinget – giving its approval and, that the terms of the transaction are acceptable and in line with financial market practice. The State’s subscription in DnB NOR ASA would be up to 5 billion Norwegian kroner. The State’s ownership will remain 34 percent after the rights issue.