Tallink seeking for major investor

The listed company Tallink Grupp AS informed the stock exchange that they have initiated “a process for exploring strategic options”, which could mean that a large share of the enterprise is for sale.

Investment banker Henrik Igasta explained that if an enterprise makes such a statement, it generally means the sale of the company. “In other words, they are seeking for a new majority owner”, he detailed.

The massive transaction would not be a big surprise for Igasta. “One can presume that the current majority owners have received some indications and if the deal should go through, it would hardly be unprofitable for them”, the financial expert explained. Yet it is unclear at present, which of the firm's major shareholders would sell their shares.

In case the new core investor should acquire majority share or more than 50 percent of shares, it has to make a take-over offer to small investors. That could, but need not mean that Tallink will leave the list of firms quoted on the stock exchange. “There are many speculations at present, but next months should show what will happen”, Igasta said.

Tallink Grupp announced July 19 evening that the supervisory board of the group had decided to initiate a process of considering possible strategic options for Tallink. Citigroup Global Markets has been appointed as the financial advisor of this process, the firm stated.

The strategic options under consideration would have to support Tallink's long-term strategy and can be linked with involving new core investors for the company, which can result in some of the existing shareholders divesting their shares, the board said.

The firm's management board also said that no further announcements relating to this process would be made unless it is required or appropriate. “It is not possible to give any assurances for the time being that any transaction will occur as a result of this process.”

As of now, 38 percent of Tallink Grupp belongs to AS Infortar, which is owned by Ain Hanschmidt, Enn Pant and Kalev Järvelill.

A further 23.68 percent of Tallink or 158.6 million shares belong to three enterprises, which recently concluded an agreement. According to the company's stock exchange announcement Citigroup Venture Capital International Growth Partnership (Employee) II L.P. on July 6 granted a right of first refusal to purchase any or all of the shares in the company to Baltic Cruises Holding L.P., which owns 16.1 percent of Tallink, and Baltic Cruises Investment L.P., which owns 5.51 percent of the shipper.

The three enterprises also agreed to only divest shares they owned in the same transaction, at the same time, in the same proportion and on similar terms. The agreement is terminated when none of the companies hold shares in Tallink.

The price of the share on July 19 closed at 0.946 euros, which would make the price of the share package 150 million euros.

Read also other news of Tallinn.

Tallink TallinkGrupp
If you notice an error, highlight the text you want and press Ctrl + Enter to report it to the editor
2 views in january
I recommend
No recommendations yet


Post your comment to communicate and discuss this article.

TALLINN – Russia is seeking integration in Estonia only in words, Kalev Stoicescu, researcher at the International Center for Defense and Security (ICDS) who is running on the ticket of the Estonia 200 party in the March 3 general elections, said on Wednesday commenting on the words said on the subject by Russian Foreign Minister Sergey Lavrov.  "Russia is the only neighboring state which does not wish -- due to its own interests -- progress in integration...
Former top centrist Evelyn Sepp admitted that she donated money the origin of which was unknown to her to the Center Party in 2006. The former politician claimed other members also engaged in the practice but refused to name names. Sepp’s confession on ETV investigative journalism program «Pealtnägija» does not come as a total bombshell. She first said that such covert funding of parties is a widespread practice in the aftermath of the Silvergate scandal i...
"In addition to our ongoing programme of passenger vessel renovations, we are also continuing to upgrade and modernise our cargo vessels to ensure that we continue to develop this important part of our business," he noted, adding that the relocation of the company's Estonia-Finland cargo route to Muuga on the Estonian side in October 2017 and the launch of the Smart Port solution in Tallinn's Old City Harbour in spring 2018 both contributed to improved ser...
During the final week of 2018, a total of 2,524 patients with viral upper respiratory infections sought medical attention, 47.5% of whom were children. A total of 210 cases of influenza were laboratory confirmed, nearly twice as many as during the week before, according to Health Board data. Over the past two weeks, the number of flu cases has quadrupled. The majority of these cases were laboratory confirmed at emergency medical departments, from which pat...
I actually think that B1 is too low of a bar for attaining citizenship. You still can't participate in Estonian society on anything other than a superficial level as noted above, so I'm not sure how you can constitute a "citizen" on that basis. Naturally there has to be a high degree of arbitrariness, and that's precisely the point — whilst B1 level might be sufficient in German or French (I understand that it is the benchmark level when applying for citiz...
Following a white Christmas throughout most of Estonia, Wednesday will see sleet and even rain in parts of the country, and temperatures hovering around the freezing point will means slippery road conditions. Early Wednesday morning, many major highways were salted or wet, but some patches were still icy, the Estonian Road Administration said. Eastern parts of the country will see scattered rain or sleet. Temperatures throughout the day will remain around...
Last weekend, Christmas Eve as well as Christmas Day and Boxing Day still ahead means that most chemist's shops are closed for five days in a row. Tallinners can still get hold of prescription as well as over-the-counter drugs in the 5 Tõnismägi St and 19 Vikerlase St shops. As doctors' practices are closed for the holidays as well, people will have to turn to the emergency room of a nearby hospital in case of any more serious health problems. In Tallinn,...
Irene Ilves, the mother of former President Toomas Hendrik Ilves, died on Tuesday aged 91. Irene Ilves was born on 6 January 1927. An Estonian refugee, she raised her family in New Jersey, on the US East Coast. She is survived by two sons, Andres Eerik and Toomas Hendrik, and four grandchildren, Juulia Kristiine, Luukas Kristjan, Kadri Keiu and Hans Hendrik, Mr Ilves wrote on social media on Wednesday, adding that she will be very missed by family and frie...
Emergency services were called out on Wednesday morning after a man fell through ice at Lake Pühajärv, in South Estonia. The call was received by the Rescue Board at a little after 9.30, though by the time emergency personnel reached the scene, the man, who had walked on to the lake ice to go fishing, had extricated himself and reached dry land. The man stated that he had broken through the ice several times during his ordeal, after venturing about 50 m fr...